US weekly drill rig count slides for monthly loss: Baker Hughes
Quantum Commodity Intelligence - North American drilling activity was slightly lower the week ending 24 February, extending the month's losses, oilfield services firm Baker Hughes reported.
The total weekly rig count eased by seven units to 753, although still up around 16% from the same time last year.
The number of rigs dedicated to crude dipped by seven to 600, accounting for the entire weekly loss. Rigs drilling for natural gas were unchanged at 151, up 27 on the year.
The overall count for February was down for a third consecutive month, dropping by 17 rigs.
Texas was unchanged for a third week at 370 units but still up 58 on the year, while the Permian Basin, spread across West Texas and New Mexico, was up one at 352 for an increase of 44 on the year.
Last week, Chesapeake Energy said it would cut back on drilling activity following the collapse in US natural gas prices, which has seen near-month futures prices hurtle towards $2/mmBtu, having peaked at around $10/mmBtu last year.
US natural gas prices rebounded from lows during the second half of the week, with the Mar23 Henry Hub contract on NYMEX closing Friday at $2.45/mmBtu, marginally lower on the week.
NYMEX WTI trading on the Chicago Mercantile Exchange settled on Friday (24 February) at $76.32/b for the Apr23 contract, down 0.3% on the week.
Front-month Apr23 ICE Brent futures closed Friday at $83.16/b, up 0.2% over the same timeframe.
On the production front, the EIA called total output steady in its latest release at 12.3 million bpd, which remains the highest figure since prices collapsed in April 2020.
