U.S. Oil Drilling Inches Up As Prices Fall

U.S. oil drilling activity has increased slightly despite falling oil prices, according to new data released by Baker Hughes on Friday. The total number of active drilling rigs in the United States dropped to 598, marking a 49 rig increase compared to the same period last year. Oil rig numbers rose by 1, reaching 456, which is 34 more than last year. Conversely, gas rig counts fell by 2 rigs to 133, 15 more than at this time last year. Miscellaneous rigs remained unchanged at 9.

The latest Energy Information Administration (EIA) data revealed that U.S. crude oil production increased during the week ending September 25th, averaging 13.955 million barrels per day (bpd). This is a slight rise from the previous week's 13.939 million bpd but a significant 450,000 bpd increase compared to the same period a year ago. The Primary Vision's Frac Spread Count, which estimates the number of crews completing wells, rose for the third consecutive week, with the count standing at 195.

In the Permian Basin, the number of active drilling rigs remained constant at 270, a 19-rig increase compared to the previous year. However, in the Eagle Ford, the rig count dropped by 1 rig for the second consecutive week to 49, 4 more than at this same time last year. Oil prices had decreased prior to the data release, with Brent trading at $101.10 per barrel, a 1.14% decrease, and West Texas Intermediate (WTI) at $90.50, down 2.55%.