US Oil Rig Count Falls By One

U.S. energy companies cut oil rigs for a second week in three as new drilling has stalled in the nation’s largest oil field, where production was forecast to grow at the slowest pace in nearly two years due to pipeline constraints.

Drillers cut one oil rig in the week to Sept. 21, bringing the total count down to 866, Baker Hughes, a GE company (NYSE: BHGE), said in its weekly report.

The U.S. rig count, an early indicator of future output, is still much higher than a year ago when 744 rigs were active as energy companies have been ramping up production in anticipation of higher prices in 2018 than previous years.