Friday, August 03, 2018

Oil Rigs: Rig Count Declines

by Bill McBride on 8/03/2018 08:12:00 PM

A few comments from Steven Kopits of Princeton Energy Advisors LLC on August 3, 2018:

• A shockingly bad week for rig counts, notwithstanding that it was expected

• Total oil rigs fell, -2 to 859

• Horizontal oil rigs collapsed, -6 to 756
• The apparent breakeven to add horizontal oil rigs came in around $75 / barrel WTI (front month, 4 wma basis)

• Vertical oil rigs are at their highest level since last November – is that a precursor to rising horizontal rigs a few weeks later?
Oil Rig CountClick on graph for larger image.

CR note: This graph shows the US horizontal rig count by basin.

Graph and comments Courtesy of Steven Kopits of Princeton Energy Advisors LLC.