Bakken Rig Count Holds at 28 Amid Sharp Oil Price Decline

North Dakota's oil drilling activity held steady with 28 active rigs on Tuesday, even as crude oil prices experienced a significant sell-off. The stability in the rig count, a key indicator of future production, comes against a backdrop of volatile markets.

West Texas Intermediate crude traded at $86.46 per barrel, down $4.84 or 5.3% for the session. The international Brent benchmark fell 4.42% to $90.08. The price for Bakken crude at the wellhead is effectively discounted further, with the Bakken differential reported at $3.42 below WTI, according to live data.

The current rig count of 28 provides a snapshot of near-term drilling commitments by operators in the Williston Basin. Historically, the number of active drilling rigs is a leading indicator for oil production, with changes in the count typically preceding shifts in output by several months. A stable rig count suggests that, for now, major producers are maintaining their core development programs despite price fluctuations.

The sharp single-day price decline may test operator discipline. However, with prices still above levels seen in recent years, the current rig level is likely sufficient to sustain or modestly grow production from the Bakken formation, North Dakota's primary oil-producing region. A sustained period of lower prices would be necessary to force a material reduction in drilling activity.

Natural gas prices, often a secondary driver for Bakken activity which is primarily oil-focused, were reported at $3.15 per MMBtu. The focus for operators remains squarely on crude oil economics.

The outlook for North Dakota production in the coming months will hinge on whether the rig count remains anchored near current levels. If operators view the price drop as a short-term correction rather than a new trend, drilling and completion activity is likely to continue at a steady pace, supporting plateaued or slightly rising output. Any further erosion in prices could lead to a reassessment of capital plans and a potential pullback in the active rig fleet.