Home / Energy / Gas, oil rigs down as Texas takes hit
Texas down 10 in weekly rig count

Gas, oil rigs down as Texas takes hit

The number of active rigs searching for oil and gas in the United States dropped down 14 from last week for a total of 650 rigs.

Texas saw the steepest decline, as seven rigs shut down, according to oilfield service company Baker Hughes.

Just one oil rig shut down as crude oil prices continue to slump. The total number of oil rigs in the United States has fallen to 515.

Another 13 rigs exploring for natural gas ceased activity, leaving the total number of gas rigs down to 135.

Two major shale plays in Texas lost rigs. The Permian Basin in West Texas saw seven rigs shut down. Eagle Ford in South Texas lost three rigs.

The prolonged oil slump leaves energy companies struggling to hold on. Houston-based oil and gas producer Goodrich Petroleum announced this week its removal from the New York Stock Exchange due to “abnormally low” price levels.

North Dakota, Colorado, Louisiana, New Mexico, Ohio and Wyoming also saw rigs close. According to Baker Hughes, the total number of rigs is down 1026 from last year.

Oklahoma led the country with four added rigs, while California, Kansas and Pennsylvania each added one. Canada added 61 total rigs.

Crude oil fell to a new 12-year low Friday. West Texas Intermediate crude fell by 6 percent to as low as $29.21 per barrel. Stock in several major oil companies dipped. Chevron fell 3.8 percent to $82.22 in morning trading Friday.

International benchmark Brent crude dropped below $30 per barrel.

Since the beginning of the year, the price of WTI has fallen 20 percent.

Leave a Reply

Your email address will not be published. Required fields are marked *