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U.S. oil drillers cut rigs for third week

Staff Writer |
The U.S. oil drilling rig count fell for a third consecutive week even though crude prices hit four-year highs this week, as rising costs and pipeline bottlenecks in the nation’s largest oil field have hindered new drilling since June.

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Drillers cut two oil rigs in the week to Oct. 5, bringing the total count down to 861, General Electric’s Baker Hughes said.

This is the longest streak of weekly cuts since October last year.

The U.S. rig count, an early indicator of future output, is higher than a year ago when 748 rigs were active when energy companies ramped up production amid higher prices. Since June, however, the number of rigs has stalled in the 860s.

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