January 11, 2021
U.S. energy firms added oil and natural gas rigs for a seventh week in a row, Reuters reported, citing the latest report from energy services firm Baker Hughes. The oil and gas rig count, an early indicator of future output, rose nine to 360 in the week ending Jan. 8, its highest since May.
U.S. oil rigs rose eight to 275 this week, their highest since May, while gas rigs rose one to 84, their highest since April, according to Baker Hughes data. However, the U.S. rig count remains 54% below a year ago.
Those higher prices have already encouraged energy firms to drill much more since the total rig count fell to a record low of 244 in August, Reuters reported. While the rig count fell by 454 in 2020, its second annual decline in a row, its fourth-quarter increase was the biggest quarterly gain since Q2 2017.
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