US oil rig count rises for 8th straight week, Baker Hughes says

pulse

March 10, 2017 6:06 PM

US drilling activity became the focus of markets again this week as oil prices plunged amid record inventories.

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The US oil rig count rose for an eighth straight period this week, according to Baker Hughes.

Eight oil rigs were activated, taking the total to 617 and to the highest level since September 25, 2015. The gas rig count increased by five to 151. One miscellaneous rig was taken offline, and so the combined count increased by 12 to 768.

US drilling activity became the focus of markets again this week as oil prices plunged after data showed that inventory levels continued to rise. highest since record keeping began in 1982.

West Texas Intermediate crude oil futures fell below $50 per barrel on Thursday for the first time since December. After the rig-count release, WTI was headed for a 9% weekly decline, the worst since the final week of October 2016.

Higher US production undermines the efforts by the Organization of Petroleum Exporting Countries to cut production and support oil prices. The count of US oil rigs rose by seven to 609 last week.

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