Source: Fortune
Summary
US oil drilling has expanded for six consecutive weeks, the longest uptrend in almost four years, driven by higher crude prices due to the Iran war. The number of rigs drilling across US oil fields rose by two to 431, according to Baker Hughes Co. data. This trend suggests shale drillers are responding to sustained gains in oil prices, which have surged 35% since the war began.
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The numbers tell one story.
US oil drillers are ramping up production, with 431 rigs now active. This is the longest streak of expansion in almost four years. The Iran war has pushed crude prices up, making US oil more attractive to overseas refiners. The benchmark US crude futures have averaged almost $98 a barrel over the past six weeks. The oil industry is responding to the price signal, and drillers are taking advantage of the opportunity.
Business as usual during wartime.
Author: Evan Null
