US drillers add oil, gas rigs for first time in four weeks, Baker Hughes says

Core Insights - U.S. energy firms have added oil and natural gas rigs for the first time in four weeks, with the total rig count rising by one to 551 as of March 6 [1] - Despite the increase, the total rig count is still down 41 rigs, or 7%, compared to the same time last year [1] - Oil rigs increased by four to 411, the highest level since early February, while gas rigs decreased by two to 132, marking their lowest since early February [1] Industry Trends - The oil and gas rig count has seen a decline of approximately 7% in 2025, 5% in 2024, and 20% in 2023, driven by lower U.S. oil prices prompting firms to prioritize shareholder returns and debt repayment over output increases [1] - Financial services firm TD Cowen reported that 18 of the 21 exploration and production companies it tracks plan to reduce capital expenditures by about 1% in 2026 compared to 2025, following a decline of around 4% in 2025 [1] - U.S. spot crude prices are expected to fall for the fourth consecutive year in 2026, with the EIA projecting crude output to remain steady at 13.6 million barrels per day in 2026, matching the record high of 2025 [1] Gas Market Outlook - The EIA forecasts that natural gas output will increase from a record 107.6 billion cubic feet per day in 2025 to 110.0 billion cubic feet per day in 2026, with spot prices at the Henry Hub benchmark expected to rise by about 22% in 2026 [1]