Analyst: US needs 850 rigs in 5 years to meet demand

07/25/2005
The US will need 850 more drilling rigs in the next 5 years, said J. Marshall Adkins, Raymond James & Associates Inc.“That represents a 50% increase over today’s rig fleet and equates to a 7% compounded annual growth rate,” he said in a July 11 report. “Rig crews and labor will likely be the biggest limiting factor to activity levels.”With Canadian and international rig markets showing similar trends, Adkins added, “We expect that, all in, the total number of rigs globally will increase by over 1,600 (40%) by the end of the decade.”Investment neededAdkins said high oil and gas prices, rapidly rising investment returns for service companies, an...
read-story

Why Register?

Non-subscribers can only view whitepapers by providing name, home and email address, phone number and other information and comment on/rate articles.

Why Subscribe?

Oil & Gas Journal subscribers with login credentials can access these premium features of OGJ Online:

  • Current Issue – an html version of the current week's issue of Oil & Gas Journal.
  • Past Issues – An Electronic OGJ Archive. A keyword-searchable archive of all issues of Oil & Gas Journal dating back to 1990; also searchable by issue date.
  • Market Journal – a weekly round-up of the oil and gas markets, with observations from leading analysts.
  • Editor's Perspective – a short article of insight and opinion by the Editor of Oil & Gas Journal.
  • OGJ Industry Stats – quick access to current industry statistics from Oil & Gas Journal.
  • OGJ Survey Downloads - quick access to exclusive reports from Oil & Gas Journal.

 

Subscriber Help or Subscribe

Oil & Gas Journal Subscribers: Have your subscription number (from the mailing label on the cover of your Oil & Gas Journal) and e-mail address ready to set up your online account through Customer Service Assistant.

If you're not an Oil & Gas Journal subscriber, start a subscription and gain access to the subscriber areas of OGJ Online now.

Stay Connected