Brocker.Org: Weekly U.S. Oil Rig Count: Permian Rig Count Has Doubled – Seeking Alpha

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A sleepy holiday getaway weekend, with no key variations throughout basins or areas with the exception of the Gulf of Mexico which dropped two oil rigs. This week nonetheless, marks the position where the rig depend in the Permian has just doubled from the base registered 8 months back.

Crude oil costs (NYSE: USO) traded within a incredibly slender variety throughout the week on incredibly lower quantity.

Simply click to enlarge

Resource: Finviz.com

Info:

Resource: Baker Hughes

* Total U.S. oil rig depend improved by two, with little raises in the Permian and many shale manufacturing areas, and drops in the ‘Other’ location, which contains the Gulf of Mexico.

In whole, oil rigs are up by sixty six% since the base in late Could 2016. Just about all of the rigs extra have been horizontal.

* Horizontal rigs improved by six throughout the week. We believe that 4 of them are oil rigs.

In whole, the horizontal rig depend is up by 69.five% since the base in late Could.

Simply click to enlarge

Resource: Baker Hughes, Orangutan Cash

Although the oil rig depend did not maximize by considerably, there were a couple rigs extra in the Permian and many rigs extra in shale manufacturing areas, put together with decreases in marginal basins in addition the Gulf of Mexico.

* The Permian oil rig depend improved by two. In whole the rig depend in the Permian improved by 29 or twelve% throughout the thirty day period of December. Since the base in late April/early Could, the rig depend in the Permian has doubled.

* The shale manufacturing areas registered an maximize of 4 new rigs throughout the week with no key raises in any specific basin.

* There was a drop of two rigs in the Gulf of Mexico.

* There were a few new purely natural gasoline rigs extra throughout the week, but no new rigs in the Haynesville, Marcellus or Utica shales.

Summary:

A lazy holiday getaway week, with some exercise in the Permian and many shale manufacturing areas but no key variations in the whole depend. A symbolic mark is that with the maximize registered this week, the number of rigs in the Permian has just doubled from the base achieved throughout late April/early Could. We must however see a lot more exercise in this basin going forward.

Disclosure: I/we have no positions in any stocks mentioned, and no strategies to initiate any positions within the up coming 72 several hours.

I wrote this write-up myself, and it expresses my own viewpoints. I am not receiving payment for it (other than from In search of Alpha). I have no business enterprise relationship with any enterprise whose inventory is mentioned in this write-up.

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