Oklahoma's rig count falls to 13
Rig count falls to 13
Baker Hughes reported Friday that Oklahoma’s working number of rigs fell to 13 this week, and an energy activity index for the state published a day earlier by the Petroleum Alliance of Oklahoma asserts the rout isn’t over yet.
“The coming months will not only prolong this contractionary cycle, but also steepen the pace of lost activity,” said Kyle McElvaney, IBC Bank’s Oklahoma City president.
The index is a joint project of the alliance, the bank and the Steve C. Agee Economic Research and Policy Institute.
It tracks monthly changes in commodity spot prices, the state’s rig count, employed energy and support employees and stock values of publicly traded energy companies in the state. For March, it fell by 12.1 points, or 9.2%.
“Free-market forces have driven dramatic cuts in workforce and capital investment in Oklahoma,” said David D. Le Norman, the alliance’s chairman.
He noted the organization opposes a request for regulators to cut allowable oil production rates made by various smaller independent operators and the Oklahoma Energy Producers Alliance, an organization representing independent oil and gas operators who mainly produce from stripper wells.
The Oklahoma Corporation Commission will consider that request Monday.
“We all should aspire to take a ‘Do No Harm’ stance when it comes to our state’s most important industry,” Le Norman said.
Mammoth Energy Services delays release of earnings
Mammoth Energy Services announced Thursday it postponed a release of its operational and financial results for the first quarter of 2020.
Those results, which had been scheduled for publication after markets closed that day, will come out at a later date, a short release issued by the company stated.
Meanwhile, share values for the company, traded under the ticker TUSK on Nasdaq, climbed steeply in value Thursday.
Its stock opened at 85.5 cents per share and closed at $1.24 a share, with nearly 1.6 million shares trading hands.
Jack Money, Business writer