{"id":67260,"date":"2025-11-17T11:56:14","date_gmt":"2025-11-17T19:56:14","guid":{"rendered":"https:\/\/energi.media\/?p=67260"},"modified":"2025-11-24T13:21:08","modified_gmt":"2025-11-24T21:21:08","slug":"u-s-rig-counts-remain-low-as-production-efficiencies-improve","status":"publish","type":"post","link":"https:\/\/energi.media\/news\/u-s-rig-counts-remain-low-as-production-efficiencies-improve\/","title":{"rendered":"U.S. rig counts remain low as production efficiencies improve"},"content":{"rendered":"<p><em>This article was published by the <a href=\"https:\/\/www.eia.gov\/todayinenergy\/detail.php?id=66645\" target=\"_blank\" rel=\"noopener\">US Energy Information Administration<\/a> on Nov. 17, 2025.<\/em><\/p>\n<p><em><strong>By Andrew Iraola, Trinity Manning-Pickett<\/strong><\/em><\/p>\n<p>The average number of active rigs per month that are drilling for oil and natural gas in the U.S. Lower 48 states has declined steadily over the past few years from a recent peak of 750 rigs in December 2022 to 517 rigs this October. The declining rig count reflects operators\u2019 responses to declining crude oil and natural gas prices and improvements in\u00a0<a href=\"https:\/\/www.eia.gov\/todayinenergy\/detail.php?id=64124\">drilling efficiencies<\/a>.<\/p>\n<p data-type=\"inbrief\"><img decoding=\"async\" src=\"https:\/\/www.eia.gov\/todayinenergy\/images\/2025.11.17\/main.svg\" alt=\"U.S. lower 48 oil and gas rig count\" \/><\/p>\n<div class=\"source\"><strong>Data source:\u00a0<\/strong>Baker Hughes Company<br \/>\n<strong>Note:\u00a0<\/strong>Excludes any miscellaneous rigs<\/div>\n<hr \/>\n<p>Since December 2022, the oil-directed rig count has dropped 33 per cent to 397 rigs in October 2025, and the natural gas-directed rig count has declined 23 per cent to 120 rigs over the same period. Natural gas-directed rigs dropped to 96 rigs in September last year amid historically low and prolonged natural gas prices. Both natural gas- and oil-directed rig count declines stabilized in October 2025.<\/p>\n<p>The traditional link between rig activity and output has weakened recently, with production at record highs despite reduced rig counts. In July 2025, crude oil production in the Lower 48 set a monthly record of 11.4 million barrels per day (b\/d), and in August 2025 natural gas production set a record of 117.2 billion cubic feet per day (Bcf\/d). Operators have been focusing on the most productive plays, drilling longer lateral lengths to access more hydrocarbons, and using\u00a0<a href=\"https:\/\/www.eia.gov\/todayinenergy\/detail.php?id=64124\">more efficient completion techniques<\/a>\u00a0to ensure economic viability.<\/p>\n<p>The Permian region is the largest U.S. crude oil producing region and the\u00a0<a href=\"https:\/\/www.eia.gov\/todayinenergy\/detail.php?id=66025\">largest contributor to U.S. crude oil production growth<\/a> despite the total number of rigs dropping 29 per cent since December 2022. Over this period, operators have increased oil production in the Permian by 18 per cent, or 1.0 million b\/d.<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.eia.gov\/todayinenergy\/images\/2025.11.17\/chart2.svg\" alt=\"rigs in Permian region and crude oil production in Permian region\" \/><\/p>\n<div class=\"source\"><strong>Data source:\u00a0<\/strong>Baker Hughes Company; U.S. Energy Information Administration,\u00a0<a href=\"https:\/\/www.eia.gov\/outlooks\/steo\/data\/browser\/\"><em>Short-Term Energy Outlook<\/em><\/a><\/div>\n<hr \/>\n<p>The largest U.S. natural gas producing region is Appalachia, where the total number of rigs dropped 29 per cent while natural gas production increased 10 per cent (3.3 Bcf\/d) after <a href=\"https:\/\/www.eia.gov\/todayinenergy\/detail.php?id=65025\">stagnating in 2024<\/a>\u00a0during a period of relatively low natural gas prices.<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.eia.gov\/todayinenergy\/images\/2025.11.17\/chart3.svg\" alt=\"rigs in Appalachia region and natural gas production in Appalachia region\" \/><\/p>\n<div class=\"source\"><strong>Data source:\u00a0<\/strong>Baker Hughes Company; U.S. Energy Information Administration,\u00a0<a href=\"https:\/\/www.eia.gov\/outlooks\/steo\/data\/browser\/\"><em>Short-Term Energy Outlook<\/em><\/a><\/div>\n<hr \/>\n<p>In our November\u00a0<a href=\"https:\/\/www.eia.gov\/outlooks\/steo\/data\/browser\/\"><em>Short-Term Energy Outlook<\/em><\/a>, we forecast Lower 48 crude oil production in 2026 to decline slightly by 0.1 million barrels per day (1 per cent) and natural gas production to increase by 0.4 Bcf\/d (less than 1 per cent). We expect the West Texas Intermediate (WTI) crude oil price to average $51 per barrel in 2026, 21 per cent less than the 2025 average, and we expect the lower crude oil prices will limit oil-directed drilling activity. Conversely, we expect the Henry Hub natural gas price to rise to $4.02 per million British thermal units, 16 per cent above the average for 2025. With these price shifts, we expect that increasing production from natural gas-directed drilling will more than offset decreases in natural gas produced as a byproduct of oil-directed drilling.<\/p>\n","protected":false},"excerpt":{"rendered":"<div class=\"mh-excerpt\"><p>This article was published by the US Energy Information Administration on Nov. 17, 2025. By Andrew Iraola, Trinity Manning-Pickett The average number of active rigs per month that are drilling for oil and natural gas <a class=\"mh-excerpt-more\" href=\"https:\/\/energi.media\/news\/u-s-rig-counts-remain-low-as-production-efficiencies-improve\/\" title=\"U.S. rig counts remain low as production efficiencies improve\">[Read more]<\/a><\/p>\n<\/div>","protected":false},"author":6,"featured_media":67261,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"give_campaign_id":0,"footnotes":""},"categories":[1],"tags":[891,41,14,95,121,3017,3016],"class_list":{"0":"post-67260","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-news","8":"tag-eia","9":"tag-energy","10":"tag-featured","11":"tag-fossil-fuels","12":"tag-innovation","13":"tag-oil-and-gas-prices","14":"tag-us-oil-and-gas"},"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>rig count - Thoughtful Journalism About Energy&#039;s Future<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/energi.media\/news\/u-s-rig-counts-remain-low-as-production-efficiencies-improve\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"rig count - Thoughtful Journalism About Energy&#039;s Future\" \/>\n<meta property=\"og:description\" content=\"This article was published by the US Energy Information Administration on Nov. 17, 2025. 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