In its weekly release, Baker Hughes Company BKR reported an increase in the U.S. rig count.

More on the Rig Count

Baker Hughes’ data, issued at the end of every week since 1944, helps energy service providers gauge the overall business environment of the oil and gas industry.

A change in the Houston-based oilfield service player’s rotary rig count affects demand for energy services like drilling, completion and production, provided by the likes of Halliburton Company HAL, Schlumberger Limited SLB and Transocean Ltd. RIG.

Details

Total US Rig Count Increases: The count of rigs engaged in the exploration and production of oil and natural gas in the United States was 266 in the week through Oct 2 versus the prior-week count of 261. Thus, the tally increased for three weeks in a row. The current national rig count is, however, below the year-ago level’s 855.

The number of onshore rigs in the week ending Oct 2 totaled 251 compared with the prior-week count of 246. Notably, the count of rigs operating in inland waters was one, same as the prior-week tally. Moreover, in the offshore resources, 14 rigs were operating, also flat with the prior-week count.

US Adds 6 Oil Rigs: Oil rig count was 189 in the week through Oct 2, compared with 183 in the week ended Sep 25. Investors should also note that the current tally of oil rigs, far from the peak of 1,609 attained in October 2014, is below the year-ago 710.

Natural Gas Rig Count Falls in US: The natural gas rig count of 74 was lower than the prior-week count of 75. Moreover, the count of rigs exploring the commodity is below the prior-year week’s 144. Importantly, per the latest report, the number of natural gas-directed rigs is 95.4% below the all-time high

Petroleo Brasileiro S.A. or Petrobras PBR recently informed that it will be taking over TOTAL’s TOT operatorship and its stakes in the five exploration blocks located in the Foz do Amazonas Basin, 120 kilometers offshore Brazil as the latter is resigning from its role of an operator of these blocks. These exploration blocks are usually referenced as FZA-M-57, FZA-M-86, FZA-M-88, FZA-M-125 and FZA-M-127.

This investment is in sync with Petrobras’ portfolio management process, which mainly focuses on boosting its shareholder value and prioritizing its investments in world-class assets in deep and ultra-deep waters.

The five blocks in the Foz do Amazonas Basin were acquired by a group of three companies during National Agency of Petroleum’s 11th Block Bidding round.The consortium comprised TOTAL with 40% interest alongside Petrobras and BP plc BP with 30% stakes each.

TOTAL did not reveal the reason behind exiting its operatorship of the blocks located in the environmentally-sensitive basin. However, Petrobras, TOTAL and BP put a lot of effort into acquiring a license to carry out drilling activities in the basin as the Brazilian regulators considered such operations to pose a threat to the reefs and the local biodiversity.

Management stated that this agreement will enable Petrobras to expand its ownership of the fields to at least 50%, which may further increase to 70% if BP does not wish to extend its stakes in the fields. The conclusion of the negotiation is thus contingent upon the consent of the Organs regulatory bodies.

Company Profile

Petrobras is the largest integrated energy firm in Brazil and one of the biggest in Latin America. The company’s activities include exploration, exploitation and production of oil from reservoir wells, shale and other rocks. The operations also include refining, processing, trading and transportation of oil and oil products, natural gas and other