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1/23/24, 4:19 PM US oil and gas rig count increases for first time in three weeks

US oil and gas rig count increases for

first time in three weeks

Gas rigs increased by three to 120, while oil rigs dropped by two to 497 in the week to 19
January.

January 22, 2024
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The rig count is a crucial indicator of future output and is closely monitored by industry stakeholders. Credit: Maksim Safaniuk/Shutterstock.com.

US energy companies have added drilling rigs in the week to 19 January, marking an increase for the first time

in three weeks, Reuters reported, citing energy services provider Baker Hughes.
The rig count is considered an early indicator of future production and is closely monitored by industry
stakeholders.
Its count rose by one to 620 for the week to 19 January 2024.
According to Baker Hughes, natural gas rigs increased by three to 120, but oil rigs dropped by two to 497,

representing the lowest count since mid-November 2023.
The rig count saw a reduction of around 20% last year, following a 33% rise in 2022 and a 67% increase in
2021.
This decline in 2023 is attributed to lower oil and gas prices, increased drilling costs and a shift in company
strategies towards enhancing shareholder returns rather than expanding expenditure.

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