Environment and Energy
Active rig counts recover in US, slip in Canada
Written by David Schollaert
July 5, 2024
US drill rig activity moved back up last week after drifting lower for four straight weeks. Meanwhile, Canadian counts slipped for the first time after a seven-week rally, according to the latest data from Baker Hughes.
US rigs
In the week ended July 5, the number of active drilling rigs in the US moved up by four week over week to 585. Oil rigs were unchanged at 479, gas rigs rose by four to 101, and miscellaneous rigs were unchanged at five.
There were 95 fewer active US rigs compared to the same week last year. The number of active oil rigs is down by 61, gas rigs are down by 34, and miscellaneous rigs are unchanged.
Canada rigs
The number of rigs operating in Canada decreased by one last week to 175. Oil rigs dipped by one to 115, gas rigs increased by one to 60, and miscellaneous rigs decreased by one to a zero reading.
International rig count
The international rig count is updated monthly. The total number of active rigs for the month of June improved to 957, up 4 from May but down by 10 from levels one year prior.
The Baker Hughes rig count 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. A rotary rig rotates the drill pipe from the surface to either drill a new well or sidetrack an existing one. For a history of the US and Canadian rig counts, visit the rig count page on our website.
David Schollaert
Read more from David SchollaertLatest in Environment and Energy
AISI cheers passage of water resources bill in Congress
The American Iron and Steel Institute (AISI) lauded the recent passage of a water resources bill in Congress.
Solar power to supply Hybar’s Arkansas rebar mill
Green & Clean Power will supply electricity to Hybar’s mill that is due to begin operations next summer.
SMA sends pro-steel policy plan to Trump administration
“We are under constant threat from nonmarket economies who evade our trade laws," SMA said.
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.