(MENAFN- ProactiveInvestors)
The fall in crude prices has sent the number of rigs drilling for oil in the U.S. this week down by 83 to 1140 the lowest since December 2011.
This is in line with explorers and producers re-evaluating their economics and Capex budgets.
Meanwhile production has slipped slightly from record highs falling 36000 barrels per day to 9.2 million bpd last week according to government data.
The shale oil and gas sector also saw a decline in activity with horizontal rigs activity falling for a 11th straight week by 80 to 1088.
It is still early days but the reduced activity could in time constrain crude oil production potentially providing support for oil prices.
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