The US oil and natural rig count increased this week for the first time since March, with energy firms adding the most oil rigs in seven months, as shale producers start drilling again now that crude prices have recovered from historic lows, Report says, citing Baker Hughes.
The oil and gas rig count, an early indicator of future output, rose ten from a record low to 254 in the week to August 21.
Before this week, the rig count hit record lows for 15 weeks.
US oil rigs rose 11 to 183 this week, their most significant rise since the week to January 17 Gas rigs fell by one to 69, just one short of its record low.
Oil companies suspended production at their facilities due to the collapse of oil prices in the spring of this year. The COVID-19 pandemic caused many factories around the world to suspend production, which led to a drop in fuel prices. The market situation was aggravated by the price war between Saudi Arabia and Russia, which lasted for about two months. Now shale producers have started drilling again after oil prices recovered from historic lows.