US Rig Count Dips for First Time in Eight Weeks, Baker Hughes Reports
According to a Reuters report via BOE Report, US energy companies cut their active rig count for the first time in eight weeks, with Baker Hughes data showing the total oil and gas rig count dropping by 1 to 562 for the week ending June 12. Oil rigs rose by 2 to 433, the highest since June 2025, while gas rigs fell by 3 to 121, the lowest since October 2025. Year-over-year, the total count is still up 7 rigs, or 1.3%.
What It Means for Subcontractors
- The one-week dip ends a sustained run-up, signaling crews and service companies should watch closely for whether this is a brief pause or the start of a pullback in drilling demand.
- Gas rig losses to an eight-month low could hit subcontractors working natural gas basins hardest, particularly those supporting completions and wellsite services in gas-heavy plays.
- The EIA’s projected output increase to 13.7 million barrels per day in 2026 suggests underlying demand for oilfield services remains intact, even if activity gets uneven in the near term.
