Canadian Oil Drilling is More Active than a Year Ago
Drilling activity is picking up in North America as oil prices continue to climb higher this week. The latest information from Baker Hughes Industries (ticker: BHI) shows the U.S. added 11 rigs in the week ended September 30, 2016, which Canada added 24 in the same time period.
Even as drilling activity starts to pick up, it remains well below levels seen a year ago in the United States. In Canada, however, the number of rigs drilling for oil is currently higher than at this time last year, according to BHI’s information.
The total Canadian rig count reached 162 this week, down 17 from the same week a year ago, but the number of those rigs targeting oil is up 14 year-over-year to 84. Those drilling for gas are down by 31 year-over-year at 78.
U.S. drilling activity continues uptick as well
The total number of rigs active in the United States increased to 522 this week, 425 of which are drilling for oil. Both oil and gas focused rigs saw an increase this week, adding seven rigs and four rigs to their counts, respectively.
The only state to report a lower rig count this week was Texas, which saw one rig come off its total count. The state remains the most active in terms of drilling by far, however, with 245 active rigs compared to the next-most active state, Oklahoma, which had just 68 rigs. All other states reported increased rig counts, or no change from the previous week.
On a basin-by-basin basis, the Permian posted the largest increase this week with three additional rigs, bringing its total to 204. The Arkoma Woodford, Cana Woodford, DJ, Fayetteville, Granite Wash, Marcellus and Williston all reported more drilling activity as well. The Ardmore Woodford and the Eagle Ford each reported one fewer rig this week compared to last.
