Biggest weekly US gas rig drop in more than seven years

The number of wells extracting natural gas in the US fell by 16 to 141 last week - the largest weekly drop since February 2016, Baker Hughes has reported.

PHOTO: An oil field with pump jacks in the US. Getty Images

The combined rig count for both oil and gas fell by 17 units over the week to 731, which is the lowest since June 2022.

US drilling activity is likely to be slower through the rest of this year and the next, according to Reuters analyst John Kemp. Crude oil and natural gas producers have been lowering their activity levels with prices trading lower since last November.

The oil and gas rig count in the Permian Basin in Texas - the biggest American oilfield – dropped by three units to 353.

However, total US rig count was up by 17 as of 12 May, which is 2% higher from a year ago.

By Debarati Bhattacharjee

Please get in touch with comments or additional info to news@engine.online