Oil Rigs: "Big rig add reversing last week"

A few comments from Steven Kopits of Princeton Energy Advisors LLC on May 25, 2018:

• Total US oil rigs were up 15 to 859

• Horizontal oil rigs added 9 to 755
...
• The gains this week were largely a catch-up on last week’s flat numbers

• Oil prices moved down sharply on Friday as traders sold their positions heading into the Memorial Day weekend and on news OPEC may add volumes

• We do not believe OPEC will add material volumes

• The Brent spread advanced to $8.65 and the futures curve remains in pronounced backwardation, suggesting demand remains robust

Click on graph for larger image.

CR note: This graph shows the US horizontal rig count by basin.

Graph and comments Courtesy of Steven Kopits of Princeton Energy Advisors LLC.

from Calculated Risk https://ift.tt/2GStyce