U.S. energy firms this week added oil and natural gas rigs for the first time in four weeks, energy services firm Baker Hughes Co BKR.O said in its closely followed report on Friday.

The oil and gas rig count, an early indicator of future output, rose five to 753 in the week to April 21.

Baker Hughes said that puts the total rig count up 58, or 8%, over this time last year.

Top oilfield firm provider SLB’s on Friday lowered its outlook for North American growth this year, with its CEO warning the market could see activity plateau in 2023 due to lower gas prices and capital restraint by private E&P operators.

The drop in gas prices has already caused some exploration and production companies, including Chesapeake Energy Corp, Southwestern Energy Co and Comstock Resources Inc, to announce plans to reduce production by cutting some gas rigs – especially in the Haynesville shale in Arkansas, Louisiana and Texas.

The gas rig count in Haynesville fell this week to 64, its lowest since March 2022, Baker Hughes data showed.
Source: Reuters (Reporting by Scott DiSavino Editing by Marguerita Choy)