Despite intense fighting between Israel and Palestinians in the Gaza Strip, oil futures extended losses after an increase in U.S. stockpiles added to concerns of an Iranian nuclear deal. Even with the setback, oil has enjoyed a robust rally this year, with crude prices up 30%, as raw materials are seen as a hedge against inflation. Saudi Arabia held output steady around 8.14 MMbopd since February, with the U.S. averaging 10.65 MMbopd. However, Russia upped its production 2% in April, to 10.46 MMbopd. In April, U.S. drilling activity averaged 436 rigs, a 7% gain compared to the 408 reported in March. The majority of this gain was in the Permian basin, as drillers added six rigs in New Mexico and four in Texas RRC 8. International activity, including Canada, averaged 823 rigs in March, 49 less (-6%) than in February.
- Management issues- Dallas Fed: Activity sees modest growth; outlook improves, but cost increases continue (October 2023)
- Industry at a glance (June 2023)
- Industry at a glance (May 2023)
- Management issues- Dallas Fed: Oil and gas expansion stalls amid surging costs and worsening outlooks (May 2023)
- Executive viewpoint (April 2023)
- Global offshore market is on the upswing (April 2023)
