During the week ending on Friday, the United States saw an increase of one oil rig, bringing the total count to 487, according to energy services company Baker Hughes. In contrast, the gas rig count fell by one to 100, with five miscellaneous rigs remaining unchanged. The data highlights a significant decrease compared to the previous year, where the US had 510 oil rigs, 116 gas rigs, and three miscellaneous rigs in operation. Currently, there are a total of 592 rigs operating in the US, which remains consistent with the previous week’s figures but shows a decline from 629 a year ago.
When looking at individual states, New Mexico experienced a loss of three rigs, reducing its tally to 102. Meanwhile, Oklahoma managed to add two rigs, increasing its count to 51. In North America, there was a decline in oil and gas rigs by 35, leading to a total of 791, primarily due to losses in Canada’s market.
The fluctuations in the rig count come amidst a backdrop of global economic uncertainty and evolving geopolitical dynamics. In the oil market, West Texas Intermediate crude oil prices rose by 1% to $67.21 per barrel during late afternoon trading on Friday, while Brent crude increased by 1% to $70.57.
Both types of crude oil appeared to be on track to conclude the week with minimal changes; WTI has increased by 0.2% over the week and is poised for its first weekly gain in eight weeks, while Brent climbed by 0.3%, marking its first rise in four weeks. Additionally, in recent statements, Russian President Vladimir Putin communicated that Moscow is in principle supportive of the US-proposed ceasefire in Ukraine.
However, he expressed certain reservations, suggesting significant discussions are still necessary for any resolution. Market analysts, including those from the International Energy Agency, have indicated that global oil supply is expected to surpass demand this year, further complicated by ongoing trade tensions that cloud future predictions.
Earlier in the week, the Organization of the Petroleum Exporting Countries reiterated its global oil demand forecasts for 2025 and 2026 while acknowledging rising economic uncertainties affecting the sector..