The number of rigs in service in the United States declined more for the week ending May 29 than all of North America combined, Baker Hughes said Friday.
The oilfield services company said in its weekly rig report there were 10 fewer rigs actively exploring for or producing oil and natural gas in the United States than the previous week. Canada gained 26 rigs for the week ending May 29.
There were eight fewer rigs actively exploring for or producing oil and gas in all of North America in last week's count from Baker Hughes. The net loss in rigs for the United States was from oil as the number of gas rigs increased by three for the week ending May 29. In terms of numbers, Texas, the No. 1 oil producer in the nation, lost the most with four.
North Dakota, the No. 2 oil producer, added one rig to reach 81 as of Friday. Monday's count of 80 was the new record low, though Friday's count is still 58 percent less than this date in 2014.
The low price of crude oil is leaving energy companies with less capital to invest in exploration and production, known as the upstream side of the oil and gas sector.
Texas expects the weak market to continue through 2016 as most analysts anticipate crude oil prices will stay around the $60 per barrel mark for the rest of the year. North Dakota said it expects oil production to increase from 1.19 million barrels per day through 2017, but only if markets breach the $90 per barrel threshold.
Internationally, data from Baker Hughes shows the number of rigs declined by 49, or 4 percent, from the previous week and 10 percent year-on-year.
