U.S. Rig Count Rises to 595 as Production Falls

The total number of active drilling rigs in the United States increased to 595 this week. This figure represents a year-over-year increase of 53 units. The data was released by Baker Hughes on Friday. The count includes both oil and gas operations across the country.

Active oil rigs rose by two to reach 452. This is 34 higher than the count from the same period last year. Gas rigs also increased by two to 134. This number is 16 above year-ago levels. Miscellaneous rigs remained unchanged at nine.

Production Data Shows Slight Decline

U.S. crude oil production fell slightly in the week ending September 11. Output averaged 13.944 million barrels per day. This is a decrease from 13.947 million barrels per day in the prior week. However, production remains 462,000 barrels per day higher than a year ago.

Frac spread counts broke a four-week losing streak. The number of crews completing wells gained six to reach 184. This marks a recovery from the lowest point since May. The data comes from Primary Vision’s tracking reports.

Regional Rig Activity Remains Mixed

The Permian Basin added one active rig to reach 269. This count is 15 above year-ago levels. The Eagle Ford region held steady at 51 rigs. This number is nine higher than in the same period last year.

Brent and WTI Prices Drop

Oil prices declined on Friday before the data release. Brent crude traded at $103.60 per barrel. This represents a drop of 1.16 percent. WTI crude fell to $100.67 per barrel. The decline was 1.22 percent from the previous close.

Market conditions reflect a complex balance of supply and demand. The rig count increase suggests continued drilling activity. However, production levels have not risen proportionally. Analysts from GN auto markets/energy: crude oil prices note the divergence between activity and output.