The count fell by 17 to 301 in the week ended Friday, May 29. "That was 683 rigs, or 69 percent, below this time last year and was the fourth week in a row the U.S. count fell to a fresh record low," reports Scott DiSavino of Reuters. "For the month, the U.S. rigs dropped by 164, its third monthly decline in a row."
DiSavino notes that energy companies cut back on new drilling "after global coronavirus lockdowns caused energy prices and demand to collapse." Some active rigs have been idled, the Houston Chronicle reports. The price plunge has made some production uneconomical, and oil companies are running short of lack of storage space for crude oil and petroleum products.