US Rig Count Steady, Production Rises Amid Global Supply Moves
Domestic oil output hits 13.86 million bpd as international agencies highlight record UAE flows and Arctic drilling debate.
The total number of active drilling rigs in the United States held steady for oil and gas this week, according to data from Baker Hughes reported by OilPrice.com. The U.S. rig count remained at 581 for the week ending July 10, which is 44 rigs higher than the same time last year. The number of active oil rigs was unchanged at 445, while gas rigs also held at 126.
Despite the static rig count, U.S. crude oil production increased. Data from the Energy Information Administration showed production averaged 13.860 million barrels per day for the week ending July 3. This is up from 13.810 million bpd the prior week and represents a year-on-year increase of 475,000 bpd. The Primary Vision Frac Spread Count, which estimates crews completing wells, rose by 5 to 205 in the week ending July 2.
Regional activity showed a mixed picture. The Permian Basin rig count fell by 5 to 256, which is 9 rigs below its year-ago level. Conversely, the Eagle Ford play added 3 rigs, bringing its total to 47, according to the OilPrice.com report. Oil prices retreated on Friday, with West Texas Intermediate trading at $71.26 per barrel.
Internationally, new supply data and policy debates emerged that could influence the global market backdrop for Bakken producers. The International Energy Agency reported that the United Arab Emirates pumped oil at a record high of 4.1 million barrels per day on average in June, according to Rigzone.
In a separate development, IEA Executive Director Fatih Birol urged the European Union to reconsider its moratorium on drilling for oil and gas in the Arctic, Rigzone reported. Such a policy shift could have long-term implications for global supply competition.
For operators in the Bakken, the domestic data suggests a focus on efficiency and well completion, with production rising even as the national rig count plateaus. The steady oil-directed rig figure indicates a cautious approach by drillers amid volatile pricing. The record output from a key OPEC member like the UAE underscores the persistent global supply pressure that influences the price environment for North Dakota crude.
Source
According to OilPrice.com and Rigzone.
