US Rig Count Holds Steady As Oil Prices Slip

Baker Hughes reported no change to the number of active oil and gas rigs in the United States on Friday. Oil and gas rigs held at 1,048 according to the report, with the number of active oil rigs falling by 2 and the number of gas rigs increasing by 2.

The oil and gas rig count is now 104 up from this time last year.

At 12:23pm. EDT on Friday, WTI Crude was trading down 0.63 percent at $67.35-almost $3 per barrel from this time last week, while Brent Crude traded down 0.25 percent at $76.31-about $1.50 below last week's levels-as Iran's oil exports continue to slip heaving into November when the US sanctions kick in and as troubled Venezuela concocts plans to pump and export more oil to no avail.

Canada's oil and gas rigs for the week fell sharply, by 24, bringing its total oil and gas rig count to 204, which is just 2 more than this time last year, with an 18-rig decrease for oil and a 6-rig decrease for gas for the week. The price of Western Canada Select (WCS) was trading down on Friday, trading down 2.45% at $37.77, essentially flat week on week.

While the Permian basin still boasts 102 more rigs than this time last year, the Utica, Arkoma Woodford, Barnett, Cana Woodford, DJ-Niobrara, Granite Wash, and the Mississippian basins each have fewer rigs than they did a year ago.

While the number of rigs in the United States are 104 more than this time last year, the EIA's estimates for US production for the week ending August 31 were for an average of 11 million bpd, compared to 8.78 million bpd a year ago this week.

By 1:09pm EDT, WTI was trading down 0.59% (-$0.40) at $67.37. Brent crude was trading down 0.24% (-$0.18) at $76.32 per barrel.

By Julianne Geiger for Oilprice.com

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