Features
Rig count: US activity slips, Canadian count rises
Written by Brett Linton
August 2, 2024
US drill rig activity resumed its downward trend last week, according to the latest data from Baker Hughes. Meanwhile Canadian counts ticked higher for the fifth consecutive week. They now stand near a five-month high.
US rigs
Through August 2 data, the number of active drilling rigs in the US declined by three week over week to a total of 586 rigs. Oil rigs were unchanged at 482, natural gas rigs fell by three to 98, and miscellaneous rigs held steady at six.
There were 73 fewer active rigs in the US this week compared to the same week last year. The number of active oil rigs was down by 43, gas rigs were down by 30, and miscellaneous rigs were unchanged.
Canada rigs
The number of rigs operating in Canada increased by eight to 219. Oil rigs rose by six to 150. And gas rigs increased by two to 69. This marks the highest Canadian count since early March.
Currently, there are 31 more drilling rigs operating in Canada than there were one year ago. Oil rigs were up by 32, gas rigs were down by one, and miscellaneous rigs were unchanged.
International rig count
The international rig count is updated monthly. The total number of active rigs for the month of July fell to 934. That’s down by 23 compared to the June count and 27 less than 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.
Brett Linton
Read more from Brett LintonLatest in Features
Final Thoughts
Sometimes new presidential administrations hit the ground running. No time for change like the present. And sometimes new administrations blast off on a SpaceX rocket bound for Mars. There’s a big universe, and we’ve got a lot of flags to plant. Such seems to be the case with the new Trump administration.
AISI: Raw steel production edges down
Weekly raw steel mill production levels have fluctuated within a relatively narrow range across the last four months, according to data released by the American Iron and Steel Institute (AISI).
Trump threatens 25% tariffs on Canada and Mexico as soon as Feb. 1
President Donald Trump said on Monday evening that he was considering placing tariffs of 25% on imports from Canada and Mexico. The president said the tariffs could go into effect as soon as Feb. 1. President Trump threatened the tariffs as he signed a raft of executive orders in front of reporters in the Oval […]
Trump vows ‘overhaul’ of US trade policy to promote American interests
President Donald Trump has promised an “overhaul” of the US trade system, and in short order the unveiling of an “America First Trade Policy.” “I will immediately begin the overhaul of our trade system to protect American workers and families,” Trump declared in his inaugural address on Monday, Jan. 20. “Instead of taxing our […]
Final Thoughts
What’s been the impact of tariff threats on prices and demand? In short, not much – or at least that was the case when I was writing this column on Sunday afternoon. Spot activity for Canadian material, for example, has been put on hold over the last few weeks while the market waits to see what the new tariff landscape might look like.