1323 ET - The number of rigs drilling for oil in the U.S. slipped by one this week to 473 in a third consecutive weekly decline, oil services company Baker Hughes reports. Rigs are at their lowest level since January and down by 24 from a year ago. Production has held up as companies focus on the most productive wells, but "we're really not seeing a lot of investment in new fields," says Vincent Deluard, director of global macro strategy at StoneX. "The whole drill baby drill, it's not about permits...it's really about price. At this point it doesn't make sense to drill at these prices." At the same time, energy companies are being a lot more disciplined about allocating capital, he adds. Rigs directed at natural gas were down by 1 this week at 100, three fewer than a year ago. (anthony.harrup@wsj.com)

(END) Dow Jones Newswires

May 16, 2025 13:23 ET (17:23 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.