Canadian Drilling – Rig Counts Continue to Move Sideways

For the week ending February 28, Baker Hughes reported that the Western Canadian gas-directed rig count rose one to 71 (blue line and text in left hand chart below), 16 less than one year ago and at the bottom of the five-year range. The oil-directed rig count rose three to 175 (red line and text in right hand chart), 31 more than a year ago and 15 higher than the top of the five-year range. Canadian drilling activity has been largely cruising sideways in recent weeks and may hold near current levels until the winter drilling season begins to wind down in late March and early April.