US Drillers Add Oil, Gas Rigs for Fourth Consecutive Week: Report

U.S. energy firms kicked off the new year by continuing to add oil and natural gas rigs this week after increasing the rig count in 2021 after two years of declines.

The oil and gas rig count, an early indicator of future output, rose two to 588 in the week to Jan. 7, its highest since April 2020, energy services firm Baker Hughes Co. said in its closely followed report.

Even though the rig count has been rising for a record 17 months in a row, analysts noted production was still expected to ease in 2021 as some energy firms continue to focus more on returning money to investors rather than boosting output.