The active U.S. rig count continued its long-standing climb last week with a sizable gain, while the price of WTI Crude oil has now fallen more than $7 since May 28.
The combined active oil and gas rig count climbed by just one last week to 1,050 — still at its highest count since March 20, 2015 (1,069). It was the count's ninth-straight increase, with data from oilfield services provider Baker Hughes showing the U.S. added two oil rigs and lost one gas rigs. The current U.S. oil rig count of 861 is up 128 year-over-year (YoY), or 17.5 percent and is at its highest mark since March 13, 2015 (866). The active gas rig count of 197 is up 15 YoY, or 8.2 percent. The U.S. miscellaneous rig count remained at two.
The U.S. combined rig count has increased by 131 so far through 22 weeks of 2018, which has included 17 weekly gains, four decreases and one hold.
Of last week's combined rig count, Oklahoma added two, while Colorado, Texas and Wyoming each added. Louisiana lost a pair, while New Mexico and North Dakota lost one apiece.
Below is the daily U.S. rig count provided by Drillinginfo on its DailyRigcount.com — a microsite that utilizes data from GPS tracking units and publicly-reported information to monitor oil and gas drilling rig movements in the U.S. Unlike raditional rig counts — such as those from Baker Hughes — typically define a rig as active only when it is "turning to the right," and have been released on Friday afternoons every week since 1944, whereas DailyRigCount defines a rig as active from the time a GPS tracking unit identifies it at a permitted oil and gas drilling location until the time it leaves, and is released daily.
Canada's large seasonal rig count decline appears to have ended, but it has yet to have sustained success. Its count fell by two last week after adding four the week before. Friday's combined count of 81 was down by 12 YoY, just up from a low of 79 on May 11.
Canada lost three oil rigs last week and added one gas rig, with its 35 oil rigs now down by five YoY and its 46 gas rigs down by seven.
Friday's North American combined rig count of 1,140 increased by 11 from a week earlier and was up by 139 YoY, or 13.9 percent.
Oil Price Update
After falling nearly $5.50 throughout the week before, oil continued to slide last week. Oil opened Tuesday, May 29 after the Memorial Day weekend at $66.84 and seemed to be on the upswing as it reached $68.39 Wednesday afternoon. But it fell throughout Thursday and Friday, closing the workweek at $65.75 and opened Monday at $65.72 — its lowest mark since April 10 of this year. Oil fell as low as $65.33 Monday morning before rallying to $65.18 as of 9:48 a.m. CT.