Mach Natural Resources May Add Second Oklahoma Oil Rig if Crude Stays Above $70
According to Oil & Gas Journal, Oklahoma City-based Mach Natural Resources LP will add a second drilling rig to its Oswego oil operations in the second half of 2026 if crude prices stay above $70 per barrel. CEO Tom Ward told investors the company would shift the rig from natural gas production to focus on oil in the Mid-Continent basin, which accounts for 55% of Mach’s production.
The $25 million rig investment would target the Oswego formation, where Mach has completed more than 250 locations since 2021 with consistent returns exceeding 50%. The company would reallocate capital from its Deep Anadarko gas operations rather than increase its total 2026 spending or production targets.
What It Means for Subcontractors
- More oil drilling work in Oklahoma - A second Oswego rig means additional drilling, completion, and support services opportunities in the Mid-Continent basin through late 2026
- Stable contract values - Mach’s 50%+ returns on Oswego wells suggest strong economics that support competitive day rates for rig contractors and service providers
- Capital reallocation, not growth - The $25 million investment comes from shifting gas drilling budgets, so total subcontractor work volume with Mach stays flat overall
