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The collapse of oil prices in 2014 trickled through to the rotary rigs, forcing a similar downward fall in the number of active oil and gas drilling rigs worldwide as producers acclimated to a new environment in which prices were below the marginal production cost in many oil-producing countries. In several US states the quantity of oil rigs, which strongly increased during the shale boom in 2009-2014, quickly reached historically low levels.

As the history shows, the decrease in rig count may last for a long time in case of low oil prices.  During six years from 2008 to 2014 the number of rigs for natural gas production has decreased 5 times (from 1600+ in Sep 2008 to 340 currently, check the graph at the bottom of the page).

Sources: Baker Hughes Rotary Rig Count, 2015 , North America Rotary Rig Count (Jan 2000 - Current) , World Bank Commodity Price Data (Pink Sheet), January 2015 , Oil Statistics (Production Costs, Breakeven Price)      

For further information about rotary rig stats, please visit The Baker Hughes Rig Count FAQ page

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