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Oil Rigs Surge Amidst Soaring Prices
12 Sep
Summary
- Permian Basin rig count remained stable at 268 active rigs this week.
- The national oil and gas rig count increased by three to 591 active rigs.
- Regional and national crude oil prices saw significant gains, nearing $100/barrel.
The national oil and gas rig count has seen an increase of three active units, bringing the total to 591 this week. This figure stands in contrast to last year's activity, which registered 539 rigs. In the Permian Basin, a key oil-producing region, the number of active rigs remained unchanged at 268, according to the latest Baker Hughes report. This stability in the Permian occurred while the national count grew.
Exploration for oil saw a slight increase, with 450 rigs actively seeking crude, up one from the previous week. Natural gas exploration also experienced growth, with 132 rigs dedicated to its pursuit, an increase of two. The U.S. rig count has historically seen significant fluctuations, peaking at 4,530 in 1981 and reaching a low of 244 in August 2020.
Concurrent with the rise in rig activity, crude oil prices experienced a notable surge. The regional benchmark Plains-West Texas Intermediate Posting closed Friday at $96.53 per barrel, marking an $8.57 increase from the prior week. The national benchmark, West Texas Intermediate crude, similarly climbed, ending the week at $100.05 per barrel, also up $8.57.
