Drilling activity in the Permian is holding steady, lower than previous booms
The total number of drilling rigs operating in the Permian Basin each week has hovered around 350 for nearly a year. Supply chain challenges and trouble hiring workers played a role, but companies and analysts say a primary driver has been investors demanding more cash returns rather than pushing for more production.
Rig count rises above 500 in 2014, drops below 200 in 2016, climbs back close to 500 in 2018 and drops sharply in 2020. Then it levels off in the mid-300s.
