US rig count rise points to likely bottoming out

Up by 21 from last week, the US rig count shows shale executives are eyeing a return to growth

Around early May, as US oil prices crept back towards $60 a barrel from a low of $43/b, many shale executives ditched the talk of austerity and said they were eyeing a return to growth. EOG Resources and Whiting Petroleum were among a small handful of companies that said costs had fallen low enough and their drilling productivity had improved enough to justify putting rigs back to work in the second half of the year at $60/b. Many analysts dismissed the talk as braggadocio aimed at Opec rivals or simply soothing words for jittery investors. But it appears many drillers are following through. The US oil-directed rig count rose by 21 last week to 659. It was the largest single-week gain since