U.S. Oil Rig Count Update – 6/3/21
According to Baker Hughes, U.S. oil rig counts rebounded to a 13 month high level during the week ending May 28th. May 28th week ending oil rig counts increased 0.8% from the previous week while finishing 61.7% above previous year levels but remaining 59.6% below the three and a half year high levels experienced during November of 2018. Oil rig counts have increased over 30 of the past 36 weeks through the week ending May 28th. Oil rig counts had declined over 24 of 27 weeks through mid-September.
Oil rig counts have declined in response to lower WTI crude oil prices, which recently rebounded to a 31 month high level but remained 12% below the Oct ’18 highs during the week ending May 28th. Crude oil production volumes have rebounded from the Feb ’21 three year low levels associated with deep freeze related slowdowns but remained 18% below the Mar ’20 record high levels during the week ending May 28th. Oil production per rig declined to a 13 month low level but remained historically high.
Oil Rig Counts Peaked in Late 2014, Prior to Declining Sharply in Early 2015
Oil Rig Counts Followed Crude Oil Prices Lower Prior to Rebounding Throughout 2017-2018
May 28th Oil Rig Counts Increased 0.8% Week-Over-Week While Finishing 61.7% Higher YOY
Oil Rigs Have Increased Over 30 of the Past 36 Weeks Through the Week Ending May 28th
Horizontal Rigs Have Accounted for Over 97% of the Rebound in Total Rigs Since Mid-August
May 28th Crude Oil Production Remained 18% Below the Mar ’20 Record High Levels
May 28th Crude Oil Production per Rig Declined to a 13 Month Low Level