Steel Products Prices North America
June 30, 2023
Rig Counts: US and Canada Down This Week
Written by Becca Moczygemba
The US rig count fell yet again for the week ended June 30. This marks the ninth consecutive week rig counts have declined in the US.
Canada also saw a decline after an increase the week prior, according to the latest data from oilfield services company Baker Hughes.
The total US rig count stood at 674 active rigs as of June 30, down eight from last week. Active oil rigs in the US fell by one to 545, active gas rigs fell by six to 124, and miscellaneous rigs fell by one back to five.
The US rig count is down by 76 rigs when compared to a year earlier, with oil rigs down by 50, gas rigs down 29, and miscellaneous up three.
Canada’s rig count fell by two for the week ended June 30. Oil rigs were down by one to 109, and gas rigs decreased by one to 58.
Compared with last year, Canada’s rig count is up by one, with gas rigs being the main contributor.
The international rig count increased by 18 to 965 rigs in May vs. April, and is up by 148 rigs compared with the same month last year, Baker Hughes said.
The number of oil and gas rigs in operation 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 is one that rotates the drill pipe from the surface to either drill a new well or to sidetrack an existing one. Wells are drilled to explore for, develop, and produce oil or natural gas. The Baker Hughes Rotary Rig count includes only those rigs that are significant consumers of oilfield services and supplies.
Steel Market Update regularly publishes an in-depth “Energy Update” report covering oil and natural gas prices, detailed rig count data, and oil stock levels. That is available here for Premium members.
For a history of both the US and Canadian rig count, visit the Rig Count page on the Steel Market Update website here.
By Becca Moczygemba, becca@steelmarketupdate.com
