With US crude production having rebounded back to near cycle highs in its lagged response to the oil rig count, this week’s rebound in the oil rig count (+6 to 750) is notably the largest addition in almost 3 months.
As Bloomberg details, explorers renewed their search for U. S. crude as oil entered a bull market and overseas demand for American supplies flourished.
Working rigs targeting crude increased by six this week, bringing the total to 750, according to Baker Hughes data reported Friday. Drillers resumed adding rigs for the first time in more than a month, a period that included Hurricane Harvey’s sweep across the Eagle Ford Shale region and coastal shipping terminals. Meanwhile, exports of domestic crude jumped 61 percent last week to an all-time high.
This post was published at Zero Hedge on Sep 29, 2017.