Active Oil Rig Count falls - August 28
Posted: Fri Aug 28, 2020 12:53 pm
Baker Hughes reported on Friday that the number of oil rigs in the United States fell by 3 to 180, after rising last week for the first time since January. < We need at least 600 rigs drilling for oil to hold U.S. oil production flat.
The total number of active oil and gas rigs held steady for the week, with oil rigs falling by 3 and gas rigs increasing by 3.
Total oil and gas rigs in the United States are now down by 650 compared to this time last year.
The EIA’s estimate for oil production in the United States stayed the same for the week ending August 21—the last week for which there is data, at 10.8 million barrels of oil per day. Oil production in the United States is now 2.3 million bpd less than its all-time high reached earlier this year. [ FYI U.S. oil production never reached 13 million BOPD, it peaked in November, 2019 at less than 12.9 million BOPD.] < EIA's weekly production estimates are just Wild Ass Guesses. They have no way of knowing. Shut-in wells coming back on-line in June - August stabilized production, but steady decline will come back in September to November. Higher oil prices in Q4 should get a few more DUC wells completed heading into year-end. My SWAG is that U.S. oil production ends the year at ~9.5 million BOPD.
Canada’s overall rig count fell by two this week, after increasing by 2 last week. Oil and gas rigs in Canada are now at 54 active rigs. Oil and gas rigs in Canada are now down 96 year on year.
The Frac Spread Count in North America, provided by Primary Vision, rose last week, from 70 to 80. < From December to March the U.S. had ~325 frac crews running and oil production was on steady decline.
The total number of active oil and gas rigs held steady for the week, with oil rigs falling by 3 and gas rigs increasing by 3.
Total oil and gas rigs in the United States are now down by 650 compared to this time last year.
The EIA’s estimate for oil production in the United States stayed the same for the week ending August 21—the last week for which there is data, at 10.8 million barrels of oil per day. Oil production in the United States is now 2.3 million bpd less than its all-time high reached earlier this year. [ FYI U.S. oil production never reached 13 million BOPD, it peaked in November, 2019 at less than 12.9 million BOPD.] < EIA's weekly production estimates are just Wild Ass Guesses. They have no way of knowing. Shut-in wells coming back on-line in June - August stabilized production, but steady decline will come back in September to November. Higher oil prices in Q4 should get a few more DUC wells completed heading into year-end. My SWAG is that U.S. oil production ends the year at ~9.5 million BOPD.
Canada’s overall rig count fell by two this week, after increasing by 2 last week. Oil and gas rigs in Canada are now at 54 active rigs. Oil and gas rigs in Canada are now down 96 year on year.
The Frac Spread Count in North America, provided by Primary Vision, rose last week, from 70 to 80. < From December to March the U.S. had ~325 frac crews running and oil production was on steady decline.