Propelled by activity gains in the Haynesville Shale and Permian Basin, the U.S. rig count posted double-digit growth for a second straight week in the latest tally from oilfield services provider Baker Hughes Co. (BKR).
Including increases of six natural gas-directed rigs and four oil-directed units, the combined U.S. count jumped 10 units higher to 645 for the week ended Friday (Feb. 18). That follows a 22-rig surge in the week-earlier period. The 645 active U.S. rigs as of Friday represented a 248-rig year/year increase, according to the BKR numbers, which are partly based on data from Enverus.
Land drilling rose by 13 units week/week, partially offset by a four-rig decline in the Gulf of Mexico for the period. One rig was added in inland waters for the week. Horizontal drilling rose by 15 units, partially offset by net declines of three vertical rigs and two directional rigs.
The Canadian rig count added one unit to reach 220 for the week, up from 172 in the year-earlier period. Net changes included a gain of three natural gas-directed rigs, partially offset by a decline of two oil-directed rigs.
Broken down by major play, the Permian led with a net increase of five rigs week/week, growing its total to 306. The Haynesville added four rigs week/week to end with 58 rigs, up from 46 a year ago. The Denver-Julesburg Niobrara added two rigs, while the Arkoma Woodford, Cana Woodford and Marcellus Shale each added one. The Mississippian Lime and Utica Shale, meanwhile, each dropped one rig from their respective totals.
Broken down by state, Texas saw a net gain of eight rigs week/week, with Colorado and New Mexico each adding two rigs. Pennsylvania added one rig to its total, while Louisiana, Ohio and Wyoming each dropped one rig, BKR data show.
U.S. petroleum demand continued to march higher in the week-earlier period as production held steady, leaving crude stockpiles far below historic averages, the Energy Information Administration (EIA) said in its latest Weekly Petroleum Status Report earlier in the week.
Demand rose 4% week/week to average 22.7 million b/d during the week ended Feb. 11, aided by a 4% jump in jet fuel consumption, the agency said.
Travel fuel consumption – including demand for gasoline and diesel — is expected to accelerate further as spring weather arrives and the effects of the Omicron variant of the coronavirus ebb, Rystad Energy analysts said. This could play out domestically and globally, according to the analysts.
“Global aviation staged a substantial uptick in the past week, which could signal further strength in the coming weeks,” said Rystad’s Claudio Galimberti, senior vice president.
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