Rig Report

GoM Ban Pulls Down U.S. Rig Count – Zacks.com.

The impact of the  Gulf of Mexico deep water drilling ban is being felt in the rig count as oil rigs in the Gulf dropped from 27 to 9 and gas rigs dropped from 19 to 14. Overall the total US rig count declined by 29 rigs, 21 of those in the Gulf of Mexico.

Rigs exploring and producing in the U.S. totaled 1,506 for the week ended June 4, 2010 (as clear from the first chart below from Baker Hughes). This is down by 29 from the previous week’s tally and represents the first decline in six weeks. However, the current nationwide rig count is 72% higher from the 2009 low of 876 (set in the week ended June 12, 2009) and significantly exceeds the prior-year level of 887. It rose to a 22-year high in 2008, peaking at 2,031 in the weeks ended August 29 and September 12.