The Baker Hughes rig count showed another generous gain Friday. After a large jump last week, the number continues to climb. Of the 712 total, 566 are exploring for oil, 145 are exploring for gas, and 1 is labeled miscellaneous. Offshore, the rig count dropped by 3.
The Permian Basin continues to stand out, claiming over half of the total gains. Ten new rigs went to the Permian. Texas overall saw 9 new rigs. Here is the breakout of the other gains and losses this week:
New Mexico +4
North Dakota +1
West Virginia -1
Meanwhile, despite trading lower today, oil still managed to close at $53.20, sticking in line with recent projections by the EIA. BP also released its outlook this week, in which the company expects the energy mix to include a greater amount of renewable sources in the future. However, oil, gas and coal remain the dominant sources of energy, says BP, accounting for more than 75% of energy supplies in 2035 (down from 85% in 2015). Consumption will continue to grow, but BP analysts expect that growth to slow.
The growing world economy will require more energy, but consumption is expected to grow less quickly than in the past – at 1.3% per year over the Outlook period (2015-2035) compared with 2.2% per year in 1995-2015.