U.S. Oil Rig Count Update – 10/6/21
According to Baker Hughes, U.S. oil rig counts rebounded to a 17 month high level throughout the week ending Oct 1st. Oct 1st week ending oil rig counts increased 1.7% from the previous week while finishing 126.5% above previous year levels. Oil rig counts remained 39.7% below pre-pandemic seasonal levels and 51.8% below the three and a half year high levels experienced during November of 2018, however.
Oil rig counts declined throughout the first half of 2020 in response to lower WTI crude oil prices. More recently, WTI crude oil prices rebounded to a six and a half year level during the week ending Oct 1st.
Crude oil production volumes reached a 15 month high level during the final week of August, prior to returning to a six month low level during the first week of September, a result of declines associated with Hurricane Ida. Crude oil production levels remained slightly below pre-Hurricane Ida levels as of the week ending Oct 1st while oil production per rig remained near recently experienced 17 month low levels.
Oil Rig Counts Followed Crude Oil Prices Lower Prior to Rebounding Throughout 2021
Oct 1st Oil Rig Counts Increased 1.7% Week-Over-Week While Finishing 126.5% Higher YOY
The Oct 1st Week-Over-Week Increase in Oil Rigs was the 18th in the Past 22 Weeks
Horizontal Rigs Have Accounted for 94% of the Rebound in Total Rigs Since Aug ’20
Oct 1st Crude Oil Production Volumes Remain Slightly Below Pre-Hurricane Ida Levels
Oct 1st Crude Oil Production per Rig Remained Near Recent 17 Month Low Levels