Baker Hughes reported another 5-rig increase to the number of oil and gas rigs this week.
The total number of oil and gas rigs now stands at 995, which is an addition of 186 rigs year over year.
The number of oil rigs in the United States increased by 4 this week, for a total of 804 active oil wells in the U.S.—a figure that is 152 more rigs than this time last year. The number of gas rigs rose by 1 this week, and now stands at 190; 35 rigs above this week last year.
The oil and gas rig count in the United States has increased by 71 in 2018.
Canada continued its severe losing streak, with a decrease of 58 oil and gas rigs, after losing 54 rigs on top last week, and a 29-rig loss the week before. At 161 total rigs, Canada now has 84 fewer rigs than it did a year ago.
Oil prices managed to climb substantially this week and were up again today prior to data release as the Saudi Energy Minister, Khalid al-Falih, said that he expected the production cuts to last into 2019. Other factors buoying prices are tensions in the Middle East after Saudi Arabia insisted that it would pursue nuclear power plans with or without the support of the United States, and would even work on developing nuclear weapons should Iran do the same. Weighing on prices this week is U.S. crude oil production, which continued its uptick in the week ending March 16, reaching 10.407 million bpd. Related: U.S. Electricity Sales Fall Again
At 12:28 pm EST, the price of a WTI barrel was trading up $1.11 (+1.73%) to $65.41—a ~$4.00 increase over last week’s prices. The Brent barrel was also trading up on the day, by $0.93 (+1.36%) at $69.31 $65.78. Meanwhile, WCS was trading at $35.80.
By Julianne Geiger for Oilprice.com
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