Baker Hughes says US energy companies have added rigs eight times in nine weeks.

Baker Hughes, a widely followed energy services company, said Thursday that U.S. firms added rigs this week for the eighth time in nine weeks. The oil and gas rig count rose to 563, its highest level since early June, in the week ending June 18. Baker Hughes released its report one day earlier than usual due to the "U.S. The Juneteenth holiday falls on Friday. Baker Hughes reported that the total rig count had increased by nine rigs or 2% over this time last week. Baker Hughes said that oil rigs remained at 433 in this week. Gas rigs increased by one to 122, the highest level since early June. Other miscellaneous rigs remained at eight. Oil and gas rig counts declined by 7%, 5%, and 20% between 2024 and 2023, as lower U.S. crude oil prices caused energy firms to prioritize shareholder returns and debt repayment over increasing output. The U.S. Energy Information Administration's (EIA's) projection is that spot U.S. West Texas Intermediate crude prices will rise in 2026 as a result of supply disruptions from the Iran War after falling in 2023 and 2024. EIA predicted that gas production would increase from a record of 107.7 billion cu ft per day in 2025 to 111.0 bcfd by 2026, as the demand for fuel increases for electricity-hungry data centres and exports as LNG. (Reporting and editing by Franklin Paul, Daniel Wallis and Scott DiSavino)

(source: Reuters)