Canadian Drilling Activity Sees Weekly Rebound Amid Strong Commodity Prices

Canadian drilling activity rebounded this week after two consecutive weekly declines, with natural gas drilling leading the increase. The country's active rig count rose by three to 207 rigs for the week ended September 11, according to the Baker Hughes North America Rig Count Report.

Natural gas accounted for the entire net increase and more, with Canada's gas rig count climbing by three to 65, while oil rigs increased by one to 141. Miscellaneous rigs declined by one to just one.

Compared to a year ago, Canada has 15 more oil rigs and six more natural gas rigs operating. The weekly increase breaks a two-week slide that had taken Canada's rig count from 216 on August 21 to 204 on September 4. At 207, activity remains below its late-August level.

The commodity backdrop remains highly unusual, with WTI crude settling at approximately US$100.05 per barrel and Brent finishing at US$104.61, both gaining more than 8% during the week despite retreating Friday.