U.S. drillers idled rigs this week for the first time in six weeks, trimming the national count to 587 even as crude hovered near $100 a barrel. Oil rigs led the drop, yet output and prices stayed close to recent highs.
U.S. energy companies pulled back their drilling rigs this week, the first decline in six weeks. Baker Hughes counted 587 active oil and gas rigs on Friday, a total that is still 8% above year-ago levels.
Where the rigs came off
Oil rigs fell by two to 450, 35 above where they stood last year. Gas rigs moved the other way, rising by one to 127, five more than the same week in 2025.
The retreat centered on the busiest basin. Drilling in the Permian slipped by one to 258, two below year-ago levels, while the Eagle Ford held at 47, eight more than last year.
Output and prices stay high
Production barely moved. The EIA reported U.S. crude output averaged 13.798 million bpd in the week ending July 17, down from 13.861 million bpd the week before. Primary Vision's frac spread count, a gauge of well-completion crews, fell by four to 196 after losing five a week earlier.
Prices eased on Friday but stayed elevated. Brent traded at $95.96 a barrel, while WTI, the U.S. oil benchmark, slipped to $88.30 — Brent still sitting more than $8 a barrel above the prior week.
A pause, not a reversal
The cut interrupts a run of gains but looks small against recent history: the rig count fell 7% in 2025, 5% in 2024, and 20% in 2023, when weaker prices pushed producers toward shareholder returns and debt reduction. WTI prices are expected to rise in 2026 on supply disruptions from the U.S.-Israeli war on Iran.
Output projections point the same way. The EIA sees U.S. crude climbing to 13.8 million bpd in 2026, up from a record 13.6 million bpd in 2025. One quiet week at the rig has not changed that path.
Sources: Oilprice.com, Investing.com
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