Environment and Energy
US, Canadian Rig Counts Down
Written by Becca Moczygemba
March 10, 2023
Rig counts dropped in Canada and the US this week, according to data from oilfield services company Baker Hughes.
The total US rig count was 746 for the week ended March 10, down three rigs from the week prior. The number of active oil rigs in the US fell to 590, down two from the prior week. The number of gas rigs dropped one to 153. Compared to this time last year, the US count is up 83 rigs, with oil rigs up 63, gas rigs up 18, and miscellaneous rigs up two, respectively.
The number of active Canadian rigs decreased to 223 last week, down 23 rigs from the prior week. Oil rigs in Canada dropped to 139 from 158. Gas rigs are at 84, down by four in the same comparison. The Canadian count is up 17 rigs compared to last year, with oil rigs accounting for most of those gains.
The international rig count increased by 14 to 915 rigs for the month of February and is up 28 rigs from the same month last year.
The number of oil and gas rigs in operation is important to the steel industry because it is a leading indicator of demand for oil country tubular goods (OCTG), a key end-market for steel sheet.
Steel Market Update also publishes an in-depth “Energy Update” report covering oil and natural gas prices, detailed rig count data, and oil stock levels. That is available here for Premium members.
For a history of both the US and Canadian rig count, visit the Rig Count page on the Steel Market Update website here.
A rotary rig is one that rotates the drill pipe from the surface to either drill a new well or to side track an existing one. Wells are drilled to explore for, develop, and produce oil or natural gas. The Baker Hughes Rotary Rig count includes only those rigs that are significant consumers of oilfield services and supplies.
By Becca Moczygemba, becca@steelmarketupdate.com
Becca Moczygemba
Read more from Becca MoczygembaLatest in Environment and Energy
November energy market update
In this Premium analysis we cover North American oil and natural gas prices, drilling rig activity, and crude oil stock levels. Trends in energy prices and rig counts are an advance indicator of demand for oil country tubular goods (OCTG), line pipe and other steel products.
SMU Spotlight: CRU’s Paul Butterworth talks EAFs, CBAM, and decarbonization
Last month I traveled to Sweden to the CRU Steel Decarbonisation Summit in Stockholm. I wanted to see if the European take on decarbonization was broadly different from what we are talking about here in the US.
SSAB OK’d for $139M from European Commission for decarb
Sweden’s SSAB has been awarded €128 million by the European Commission for the steelmaker’s efforts at decarbonization.
GSCC introduces label for new emissions target
The Global Steel Climate Council (GSCC) has taken a step forward in standardizing the decarbonization process with the publishing of its labeling for a certified science-based emissions target.
DOE set to measure GHG intensity of industrial products, including steel
The US Department of Energy (DOE) is launching a pilot project to measure the greenhouse gas (GHG) intensity of certain energy-intensive industrial products, including steel.