(Bloomberg) -- U.S. drillers pulled 94 oil rigs out of fields in a single week, cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 biggest retreat to date, as crude prices capped cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 longest stretch of monthly declines since 2009.
The oil rig count dropped to a three-year low of 1,223, Baker Hughes Inc. said on its website Friday. It was cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 biggest weekly decline since cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 Houston-based oil-field services company began collecting cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 data in 1987. The Permian Basin of Texas and New Mexico, cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 country’s biggest oil field, was hit hardest, losing 25 rigs.
Drillers are parking rigs as a global collapse in oil prices prompts producers to curb spending, service contractors to fire thousands and at least one oil-rich county in California to declare a fiscal emergency. Banks including Societe Generale SA have said prices may fall below $40 a barrel as global supplies surge and OPEC resists calls to curb output.
“The risk is that we go into a $30- to $40-a-barrel range if cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 market is too impatient and doesn’t want to wait for lower rig counts and lower well completions,” Mike Wittner, head of oil research at Societe Generale, said by telephone from New York on Friday. “Then you start getting below operating costs.”
West Texas Intermediate for March delivery rose $3.71 on Friday to $48.24 a barrel on cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 New York Mercantile Exchange. Even with cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 gain cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 futures capped a seventh straight month of declines, dropping 9.4 percent in January.

‘Decisive Actions’

“There’s a lot of debate right now about cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 duration of cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 current low oil prices,” Ryan Lance, ConocoPhillips’ chief executive officer, said in a conference call Jan. 29. “We’re assuming that cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365y’ll stay low for 2015, and we’re taking decisive actions.”
ConocoPhillips, cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 third-largest U.S. energy producer, said on Jan. 29 that it was cutting its rig count in North Dakota’s prolific Bakken shale formation to three this year. On Friday, Chevron Corp. cut its drilling budget by cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 most in 12 years, suspended share buybacks and laid off workers. Drilling contractor Helmerich & Payne Inc. said it may cut 2,000 jobs after receiving 22 notices from clients terminating rig contracts early.
The Organization of Petroleum Exporting Countries, which accounts for about 40 percent of cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 world’s oil supplies, has meanwhile held its ground after agreeing in November to maintain output targets. Saudi Arabia, cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 group’s biggest producer, won’t “singlehandedly balance cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 market in a downturn,” Khalid Al-Falih, Saudi Arabian Oil Co.’s chief executive officer, said at a conference in Riyadh.

Record Production

U.S. oil production has continued to climb, reaching 9.21 million barrels a day in cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 week ended Jan. 23, cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 most in weekly data since at least 1983, Energy Information Administration data show.
Continental Resources Inc., cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 largest leaseholder in North Dakota’s Bakken shale formation, can weacá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365r low oil prices “forever,” cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 company’s chief executive officer, Harold Hamm, said in an interview at cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 Argus Americas Crude Summit in Houston on Jan. 28. Prices will recover as early as cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 first half of this year as producers cut back, he said.
In Kern County, home to three-fourths of California’s oil production, leaders declared a fiscal emergency. The collapse in oil prices may cut cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 government’s property-tax collections by almost 15 percent in cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 year beginning July 1, according to Nancy Lawson, cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 assistant county administrative officer.
“We were looking quite positive before this happened,” Lawson said.
Natural gas rigs increased by three to 319 and one miscellaneous rig was added, bringing cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 total count down 90 to 1,543. Gas futures for March delivery fell 2.8 cents Friday to $2.691 per million British cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365rmal units on cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 Nymex, cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 lowest settlement since September 2012.
To contact cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 reporter on this story: Lynn Doan in San Francisco atldoan6@bloomberg.net
To contact cá cược thể thao bet365_cách nạp tiền vào bet365_ đăng ký bet365 editors responsible for this story: David Marino atdmarino4@bloomberg.net Richard Stubbe, Stephen Cunningham