The count of active oil and gas drilling rigs has declined five straight weeks in the U.S. and four straight weeks in the Permian Basin as of May 10 as the 2019 slump for activity continues, according to Baker Hughes. The count was 988 (fewest since March 2018) in the U.S. – the third straight week below 1,000 and down 2 in the past week – and the count also was down 2 in the past week in Permian Basin to 457. The U.S. has lost 95 rigs since starting 2019 with 1,083 (8.8 percent), and Permian Basin has lost 29 rigs since starting 2019 with 486 (6.0 percent). Texas added a rig in the past week to reach 485, but the state is down 47 rigs since starting 2019 with 532 (8.8 percent). The downward trend follows the collapse of oil prices in 2018Q4 while energy companies were setting 2019 budgets.
In the Permian Basin, Reeves with 61 rigs (up 1 in past week), Eddy, N.M., with 52 (down 1), Lea, N.M., with 48 (down 2) and Midland with 42 (up 1) remain the leading counties. Other leaders as of May 10, according to Baker Hughes, include Martin County with 36 (up 1 in past week), Loving with 35 (up 1), Howard with 30 (unchanged) and Ward with 22 (down 1).
New Mexico lost its runner-up place on the list of leading states as Oklahoma regained No. 2 with 105 rigs (103 a week ago, 138 a year ago, 140 to start 2019). New Mexico lost 4 rigs in the past week for a new total of 102 (89 a year ago, 106 to start 2019). Other leaders include Louisiana with 61 rigs (62 last week, 62 last year) and North Dakota with 56 rigs (57 last week, 56 last year).
Other leading regions include Eagle Ford with 74 rigs (74 last week, 78 last year, 80 to start 2019), Marcellus with 63 (61 last week, 55 last year), Williston with 56 (57 last week, 57 last year) and Haynesville with 52 (52 last week, 54 last year).
