US Drilling Activity Stagnates as Oil Rig Counts Dip

Baker Hughes reported that the oil rig count now sits 35 units higher than this time last year, even with the latest weekly contraction. Gas rigs climbed to 132, reflecting a year-on-year gain of 13. Meanwhile, production figures from the Energy Information Administration indicate that domestic crude output managed to edge upward, reaching 13.843 million barrels per day for the week ending August 21.

Despite the steady production numbers, activity in the completion sector showed signs of cooling. Primary Vision’s Frac Spread Count—which tracks crews finishing wells—fell by nine, marking the second consecutive week of losses and bringing the total to 184. Key basins remained quiet, with rig counts in the Permian and Eagle Ford basins holding firm at 267 and 50, respectively.

These shifts coincide with a broader cooling of market sentiment. Brent crude slipped to $89.35 per barrel on Friday, while WTI traded down at $83.21. Both benchmarks have retreated roughly $5 per barrel over the past seven days, reflecting investor caution amid the current production landscape.