Oct 25 (Reuters) - U.S. energy firms kept the number of

oil and natural gas rigs unchanged this week, with the count

falling to a 17-year low in Pennsylvania, energy services firm

Baker Hughes ( BKR ) said in its closely followed report on

Friday.

The oil and gas rig count, an early indicator of future

output, held at 585 in the week to Oct. 25.

Baker Hughes ( BKR ) said the total count was still down 40, or 6%

below this time last year.

Oil rigs fell by two to 480 this week, while gas rigs rose

by two to 101.

In Pennsylvania, which mostly produces gas, drillers cut one

rig, dropping the state's total down to 12, the lowest since

July 2007.

In the Marcellus shale, the nation's largest

gas-producing basin in Pennsylvania, West Virginia and Ohio,

drillers also cut one rig, dropping the region's total down to

22, the lowest since August 2016.

And in the Gulf of Mexico, drillers cut two rigs,

dropping the region's total down to 14, the lowest since March

2023.

For the month, the nation's total oil and gas count was

down by two rigs after gaining four rigs in September.

The oil rig count was down by four rigs in October after

gaining one rig in September, while the gas rig count was up by

two this month after gaining four last month.

The oil and gas rig count dropped about 20% in 2023 after

rising by 33% in 2022 and 67% in 2021, due to a decline in oil

and gas prices, higher labor and equipment costs from soaring

inflation and as companies focused on paying down debt and

boosting shareholder returns instead of raising output.

U.S. oil futures were flat so far in 2024 after

dropping by 11% in 2023, while U.S. gas futures were up

by about 1% so far in 2024 after plunging by 44% in 2023.