U.S. count of active oil and gas drilling rigs continues its contraction in 2023. No state added rigs in the past week, according to Baker Hughes in its weekly report of Feb. 3. There were 354 rigs in Permian Basin (down 3 in past week, up 60 in past year), 377 in Texas (down 3 in past week, up 90 in past year), 105 in New Mexico (unchanged in past week, up 13 in past year), and 759 in U.S. (down 12 in past week, up 146 in past year). U.S. count is down 20 from the start of the year. U.S. count of oil-directed rigs (599) fell below 600 for first time since September.
Oklahoma is No. 3 among states with 64 rigs (unchanged in past week) followed by Louisiana with 60 (down 1) and North Dakota with 41 (unchanged). Eagle Ford in south Texas is No. 2 among regions with 72 rigs (unchanged) followed by Haynesville with 69 (unchanged), Williston with 42 (unchanged) and Marcellus with 37 (unchanged).
Lea County, N.M., is the Permian leader with 65 rigs (down 2 in past week), and Martin County is up 1 to 41. Eddy, N.M., is third with 38 (up 2) followed by Reeves with 33 (unchanged), Loving with 30 (unchanged) and Midland with 26 (down 1). Midland’s count was down for the fourth straight week.
U.S. Energy Information Administration said this week its forecast for Henry Hub natural gas spot price now is $3.4/MMbtu – down almost 50 percent from last year and about 30 percent from its forecast in January of almost $5/MMbtu for 2023.