Baker Hughes Weekly Rig Count - May 15 2020

The Baker Hughes Rig Count showed that weekly rigs dropped by another 9% this week. Looking at the regional data, it appears that ArkLaTex, Northeast and DJ Basin have reached a bottom. The Bakken, Eagle Ford, MidCon and Permian accounted for the main rig declines this week.

At the start of the rig decline, the Permian Basin had 54% of all of the rigs running in the Lower 48 (418 of 771 active rigs). Looking back the weekly rig losses, the Permian has lost a higher proportion of rigs compared to the total rig count. On a weekly basis, the Permian has accounted for 57% of the rig loss total compared to accounting for 54% of the rigs at the start.

In the last week, the Permian rig losses accounted for 72% of the total rigs lost (23 of 32 rigs lost) but the Permian rig total was 54% of the total rigs (175 rigs in the Permian out of 327 rigs). As other area rig counts begin to stabilize, we can expect the Permian to account for the majority of the lost rigs.

Baker Hughes Weekly Rig Count - May 15 2020

Source: Baker Hughes