Features

Rig count update: US activity stable, Canada down

November 8, 2024

Active oil and gas rig counts remained unchanged in the US last week, while Canadian activity ticked lower, according to the latest release from Baker Hughes.

US counts have hovered in this territory since June, just above multi-year lows. Canadian counts have trended lower since early October but remain historically high.

US rigs

Through Nov. 8, there were 585 drilling rigs operating in the US, unchanged since mid-October. This count included 479 oil rigs, 102 gas rigs, and four miscellaneous rigs. There were 31 fewer active US rigs last week compared to the same week one year prior.

Canada rigs

There were 207 Canadian drilling rigs in operation last week, six fewer than the prior week. Oil rig counts fell by four week over week to 142, gas rigs declined by two to 65, and miscellaneous rigs remained at zero. There are currently eight more Canadian rigs in operation than levels one year ago.

International rig count

The international rig count is a monthly figure updated at the beginning of each month. The total number of active rigs for the month of October rose to 950, up three from September but 12 fewer than levels seen one year ago.

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

Brett Linton is a senior analyst for Steel Market Update, where he began his career. Linton has been in the steel industry since 2010. He has held roles as a category manager and strategic insights director at Reibus before returning to SMU in 2024. He is a graduate of The University of North Georgia with a degree in Finance and Accounting. Brett can be reached at brett@steelmarketupdate.com or 724-314-0179.