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Permian Oil Rig Count Increases in 10 of the Prior 11 Weeks
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In its weekly release, Baker Hughes Company (BKR - Free Report) reported that the U.S. rig count was higher than the prior-week tally. The rotary rig count, issued by Baker Hughes, usually gets published in major newspapers and trade publications.
Baker Hughes’ data, issued at the end of every week since 1944, helps energy service providers gauge the overall business environment of the oil and gas industry. The number of active rigs and its comparison with the prior-week figure indicates the demand trajectory for Baker Hughes’ oilfield services from exploration and production companies.
Details
Total US Rig Count Rises: The count of rigs engaged in the exploration and production of oil and natural gas in the United States was 689 for the week through Apr 8, higher thanthe prior-week count of 673. The current national rig count is higher than the year-ago level of 432.
The number of onshore rigs for the week ended Apr 8 totaled 675, higher than the prior-week count of 657. In offshore resources, 12 rigs were operating, lower than the prior-week count of 14.
US Oil Rig Count Grows: Oil rig count was 546 for the week ended Apr 8, higher than the prior-week figure of 533. The current number of oil rigs — far from the peak of 1,609 attained in October 2014 — is up from the year-ago figure of 337.
Natural Gas Rig Count Rises in the US: Natural gas rig count of 141 was higher than the prior-week figure of 138. The count of rigs exploring the commodity is higher than the prior-year week’s tally of 93. Per the latest report, the number of natural gas-directed rigs is 91.2% lower than the all-time high of 1,606 recorded in 2008.
Rig Count by Type: The number of vertical drilling rigs totaled 26 units, higher than the prior-week count of 25. Horizontal/directional rig count (encompassing new drilling technology with the ability to drill and extract gas from dense rock formations, also known as shale formations) of 663 compared favorably with the prior-week level of 648.
Gulf of Mexico (GoM) Rig Count Drops: GoM rig count was 12 units, all being oil-directed. The count was lower than the prior-week number of 14.
Rig Count in the Most Prolific Basin
Permian — the most prolific basin in the United States — recorded a weekly oil rig tally of 331, higher than the prior-week count of 322. Thus, the basin's oil drilling rig count increased in 10 of the prior 11 weeks.
Outlook
The West Texas Intermediate crude price is trading at higher than the $95-per-barrel mark, marking a massive improvement from the past year. The commodity price shot up, primarily due to the escalation of Russian attacks on Ukraine. Higher oil prices will pave the way for rig additions despite a slowdown in drilling activities as upstream players mainly focus on stockholder returns rather than boosting output.
Meanwhile, investors may keep a close eye on energy stocks like Whiting Petroleum Corporation and Continental Resources, Inc. . The companies are expected to benefit from the current healthy oil price scenario.
Whiting Petroleum is a leading upstream energy company and the top producer of crude oil in North Dakota. With oil prices improving rapidly, Whiting Petroleum is expected to continue generating handsome cash flows while maintaining a healthy balance sheet.
Headquartered in Denver, CO, Whiting Petroleum has witnessed upward earnings estimate revisions for 2022 in the past seven days. Looking at the price chart, WLL has gained 132.8% over the past year, outpacing the 96.2% improvement of the composite stocks belonging to the industry. WLL currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Continental Resources is also a leading upstream energy company with proven reserves in North Dakota and Oklahoma. The oil inventories of Continental Resources are among the best in the industry.
Headquartered in Oklahoma City, Continental Resources has witnessed upward earnings estimate revisions for 2022 in the past seven days. Considering the price chart, Continental Resources — currently carrying a Zacks Rank #2 (Buy) — has gained 150.2% over the past year, outpacing the 96.2% improvement of the composite stocks belonging to the industry.
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Permian Oil Rig Count Increases in 10 of the Prior 11 Weeks
In its weekly release, Baker Hughes Company (BKR - Free Report) reported that the U.S. rig count was higher than the prior-week tally. The rotary rig count, issued by Baker Hughes, usually gets published in major newspapers and trade publications.
Baker Hughes’ data, issued at the end of every week since 1944, helps energy service providers gauge the overall business environment of the oil and gas industry. The number of active rigs and its comparison with the prior-week figure indicates the demand trajectory for Baker Hughes’ oilfield services from exploration and production companies.
Details
Total US Rig Count Rises: The count of rigs engaged in the exploration and production of oil and natural gas in the United States was 689 for the week through Apr 8, higher thanthe prior-week count of 673. The current national rig count is higher than the year-ago level of 432.
The number of onshore rigs for the week ended Apr 8 totaled 675, higher than the prior-week count of 657. In offshore resources, 12 rigs were operating, lower than the prior-week count of 14.
US Oil Rig Count Grows: Oil rig count was 546 for the week ended Apr 8, higher than the prior-week figure of 533. The current number of oil rigs — far from the peak of 1,609 attained in October 2014 — is up from the year-ago figure of 337.
Natural Gas Rig Count Rises in the US: Natural gas rig count of 141 was higher than the prior-week figure of 138. The count of rigs exploring the commodity is higher than the prior-year week’s tally of 93. Per the latest report, the number of natural gas-directed rigs is 91.2% lower than the all-time high of 1,606 recorded in 2008.
Rig Count by Type: The number of vertical drilling rigs totaled 26 units, higher than the prior-week count of 25. Horizontal/directional rig count (encompassing new drilling technology with the ability to drill and extract gas from dense rock formations, also known as shale formations) of 663 compared favorably with the prior-week level of 648.
Gulf of Mexico (GoM) Rig Count Drops: GoM rig count was 12 units, all being oil-directed. The count was lower than the prior-week number of 14.
Rig Count in the Most Prolific Basin
Permian — the most prolific basin in the United States — recorded a weekly oil rig tally of 331, higher than the prior-week count of 322. Thus, the basin's oil drilling rig count increased in 10 of the prior 11 weeks.
Outlook
The West Texas Intermediate crude price is trading at higher than the $95-per-barrel mark, marking a massive improvement from the past year. The commodity price shot up, primarily due to the escalation of Russian attacks on Ukraine. Higher oil prices will pave the way for rig additions despite a slowdown in drilling activities as upstream players mainly focus on stockholder returns rather than boosting output.
Meanwhile, investors may keep a close eye on energy stocks like Whiting Petroleum Corporation and Continental Resources, Inc. . The companies are expected to benefit from the current healthy oil price scenario.
Whiting Petroleum is a leading upstream energy company and the top producer of crude oil in North Dakota. With oil prices improving rapidly, Whiting Petroleum is expected to continue generating handsome cash flows while maintaining a healthy balance sheet.
Headquartered in Denver, CO, Whiting Petroleum has witnessed upward earnings estimate revisions for 2022 in the past seven days. Looking at the price chart, WLL has gained 132.8% over the past year, outpacing the 96.2% improvement of the composite stocks belonging to the industry. WLL currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Continental Resources is also a leading upstream energy company with proven reserves in North Dakota and Oklahoma. The oil inventories of Continental Resources are among the best in the industry.
Headquartered in Oklahoma City, Continental Resources has witnessed upward earnings estimate revisions for 2022 in the past seven days. Considering the price chart, Continental Resources — currently carrying a Zacks Rank #2 (Buy) — has gained 150.2% over the past year, outpacing the 96.2% improvement of the composite stocks belonging to the industry.