This week's rig count was mostly about adjusting some big accounting errors from last week!
The total U.S. land rig count fell by 5 to 409 and the horizontal land rig count fell by 6 to 335.
Last week, the Bakken HRZ gained 8 rigs which seemed like a lot but this week it lost 11 rigs so it seems like it really lost 3 net rigs over 2 weeks. Similarly, last week the Woodford supposedly gained 8 rigs--a lot--but this week it lost 8 for a net change of zero.
With that behind us, it seems like the horizontal rig count really dropped by 11 over the past 2 weeks. Related: Why the Saudis Want a Deal in Doha
Tight oil lost 7, shale gas lost 2 and "other" lost 2. For tight oil plays, the Bakken lost 3, the Eagle Ford, 1, the Permian 2 and Mississippi Lime, 1. For shale gas plays, the Haynesville lost 1, the Marcellus lost 1, the Utica gained 1 and the Barnett lost 1.
I think that I've gotten the accounting right. Baker Hughes made no acknowledgement that they had made any errors.
(Click to enlarge)
The rig count decline continues to follow the WTI price as can be seen in below chart. Related: Oil Slips While All Eyes Are On Doha
(Click to enlarge)
By Art Berman for Oilprice.com
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