((Automated translation by Reuters, please see disclaimer https://bit.ly/rtrsauto)) by Scott DiSavino
U.S. energy companies this week kept the number of oil and natural gas drilling rigs unchanged for the third consecutive week, according to data from energy services company Baker Hughes BKR.O dating back to 1987 .
The number of oil and gas drilling rigs, an early indicator of future production, remained steady at 585 in the week ended Nov. 8, Baker Hughes said Friday. RIG-USA-BHI RIG-OL-USA-BHI
RIG-GS-USA-BHI
According to Baker Hughes, the total number of drilling rigs fell by 31, down 5% from the same time last year.
According to Baker Hughes, the number of oil drilling rigs remained at 479 this week, while the number of gas drilling rigs remained unchanged at 102.
The number of oil and gas drilling rigs fell by about 20% in 2023 after increasing by 33% in 2022 and 67% in 2021, due to falling oil and gas prices, rising labor and equipment costs due to soaring inflation and as companies focused on paying down debt and increasing shareholder returns rather than increasing production.
U.S. oil CLc1 futures are down about 2% so far in 2024 after falling 11% in 2023, while U.S. gas NGc1 futures are up about 6% so far in 2024. 'now in 2024 after falling 44% in 2023.
U.S. crude production was on track to rise from a record 12.9 million barrels per day (bpd) in 2023 to 13.2 million bpd in 2024 and 13.5 million bpd in 2025, according to the latest outlook from the U.S. Energy Information Administration (EIA).
On the gas side, several producers cut drilling spending earlier this year after the monthly average spot price at the Henry Hub NG-W-HH-SNL benchmark in Louisiana fell to its previous level. the lowest in 32 years in March.
U.S. gas production is expected to decline to 103.5 billion cubic feet per day (bcfd) in 2024, compared to a record 103.8 bcfd in 2023, according to the EIA.
