US energy firms last week added oil and natural gas rigs for the first time in three weeks, as the oil rig count rose by the most since February, energy services firm Baker Hughes said in its closely followed report on Friday, reports Reuters.
The oil and gas rig count, an early indicator of future output, rose two to 618 in the week to November 17. Data provider Enverus, which publishes its own rig count data, said drillers cut 13 rigs in the week ended Nov. 15, cutting the total to 690. Nevertheless, the overall count was still up about 2 per cent in the last month but down 21 per cent year-over-year.
US oil futures were down about 6 per cent so far this year after gaining about 7 per cent in 2022. US gas futures, meanwhile, have plunged about 35 per cent so far this year after rising about 20 per cent last year.
Even as lower prices prompt some producers to cut back on new drilling, oil and gas output is still on track to hit record highs in 2023 and 2024 as firms complete work on their already drilled wells.
The total number of drilled but uncompleted (DUC) oil and gas wells dropped by 92 to 4,524 in October, the lowest since December 2013, according to the US Energy Information Administration's (EIA) Drilling Productivity Report.
Gas production in North Dakota rose to a record 3.440 billion cubic feet per day (bcfd) in September, while crude output in the nation's third-largest oil-producing state, was expected to be flat or sightly lower in October but above 1.2 million barrels per day, the state regulator said this week.
© 2024 - All Rights with The Financial Express
