Houston : Oil rigs operating in the US rose to an 18-year high for the second week in a row, helping boost the country's overall rig count to the most since January 2009, according to data published by Baker Hughes.
Oil rigs increased by 8 to 474, the highest level since December 13, 1991, when oil prices were trading at about $20 a barrel. The oil rig count has more than doubled from a low of 179 in June, as prices have risen 17 per cent.
The combined oil and gas rig count increased by 20, or 1.4 per cent, to 1,427, the highest level since January 30, 2009. It reached a 22-year high in 2008, peaking at 2,031. Half of the weekly increase came from Texas and Oklahoma, which together are home to about 50 per cent of US rigs.
Crude for April delivery fell $1.52, or 1.9 per cent, to settle at $80.68 a barrel on the New York Mercantile Exchange on Friday as the dollar strengthened against the euro, curbing the appeal of commodities as an alternative investment.
Natural gas rigs advanced by 12 to 939, the highest level since February 2009. The gas rig count remained down 41 per cent from a peak of 1,606 in September 2008.
Gas for April delivery gained 8.4 cents, or 2.1 per cent, to $4.169 per million British thermal units on Friday. Baker Hughes also reported that miscellaneous rigs, which primarily drill for geothermal energy, were unchanged from the week before last at 14.
Texas and Oklahoma each jumped by five rigs to 595 and 115, respectively. Louisiana's rig count increased by four. California, Colorado and West Virginia gained three each, Alaska rose by two, and Kansas, North Dakota and Virginia each gained one rig. Kentucky and New Mexico lost two. Alabama, Pennsylvania, Tennessee and Utah declined by one each. Tennessee lost its only rig.
Rigs on land increased by 21, or 1.6 per cent, to 1,362. Rigs in inland waters lost one to 14.
The rig count for offshore production was unchanged at 51. The Gulf of Mexico rig count was also unchanged from the week before last at 49.
