Baker Hughes Announces December 2006 Rig Counts

HOUSTON, Jan 08, 2007 /PRNewswire-FirstCall via COMTEX News Network/ -- Baker Hughes Incorporated (NYSE: BHI; EBS) announced today that the international rig count for December 2006 was 951, up 12 from the 939 counted in November 2006, and up 3 from the 948 counted in December 2005. The international offshore rig count for December 2006 was 271, up 11 from the 260 counted in November 2006 and up 7 from the 264 counted in December 2005.

(1) Excluding Iran and Sudan, the international rig count for December 2006 was 951, up 12 from the 939 counted in November 2006, and up 60 from the 891 counted in December 2005. The international offshore rig count for December 2006 was 271, up 11 from the 260 counted in November 2006 and up 13 from the 258 counted in December 2005.

The US rig count for December 2006 was 1,718, up 12 from the 1,706 counted in November 2006 and up 248 from the 1,470 counted in December 2005. The Canadian rig count for December 2006 was 456, up 24 from the 432 counted in November 2006 and down 119 from the 575 counted in December 2005.

The worldwide rig count for December 2006 was 3,125, up 48 from the 3,077 counted in November 2006 and up 132 from the 2,993 counted in December 2005. (1) Excluding Iran and Sudan, the worldwide rig count for December 2006 was 3,125, up 48 from the 3,077 counted in November 2006 and up 189 from the 2,936 counted in December 2005.



    December 2006 Rotary Rig Counts
                 December 2006             November 2006       December 2005
              Land   OS   Total   Var.   Land   OS   Total   Land   OS   Total
    --------------------------------------------------------------------------

     Europe    26    39    65      0      29    36    65      25    49    74
     Middle
      East    226    29   255     (4)    229    30   259     225    37   262
     Africa    47    20    67     (2)     51    18    69      36    13    49
     Latin
      America 260    69   329     11     250    68   318     263    64   327
     Asia
      Pacific 121   114   235      7     120   108   228     135   101   236
              ---   ---   ---      -     ---   ---   ---     ---   ---   ---
    Inter-
     national 680   271   951     12     679   260   939     684   264   948

     United
      States 1634    84  1718     12    1619    87  1706    1393    77  1470
     Canada   452     4   456     24     427     5   432     571     4   575
              ---     -   ---     --     ---     -   ---     ---     -   ---
    North
     America 2086    88  2174     36    2046    92  2138    1964    81  2045
    --------------------------------------------------------------------------
    World-
     wide    2766   359  3125     48    2725   352  3077    2648   345  2993

(1) Beginning with the January 2006 report, the company has discontinued its rig count for Iran and Sudan. In the third quarter of 2005, our independent foreign subsidiaries initiated a process to prohibit any business activity that directly or indirectly involves or facilitates transactions in Iran, Sudan or with their governments, including government-controlled companies operating outside of these countries.



    (1) December 2006 Totals excluding Iran and Sudan

                December 2006               November 2006       December 2005
              Land   OS   Total   Var.   Land   OS   Total   Land   OS   Total
    --------------------------------------------------------------------------

     Middle
      East    226    29    255    (4)     229   30    259     174    31    205
    Inter-
     national 680   271    951    12      679  260    939     633   258    891
    --------------------------------------------------------------------------
    Worldwide
     Total   2766   359   3125    48     2725  352   3077    2597   339   2936


    December 2006 Workover Rig Counts
                December 2006    Var.    November 2006   December 2005
    -------------------------------------------------------------------
     United
      States         1484        -38        1522            1494
     Canada           423       -259         682             791
    North America    1907       -297        2204            2285

    About the Baker Hughes Rig Counts

The Baker Hughes Rotary Rig Counts are counts of the number of drilling rigs actively exploring for or developing oil or natural gas in the United States, Canada and international markets. Baker Hughes has issued the rotary rig counts as a service to the petroleum industry since 1944, when Hughes Tool Company began weekly counts of US and Canadian drilling activity. Hughes initiated the monthly international rig count in 1975. In 1987, Baker Oil Tools began its monthly workover rig count.

North American rig count data is scheduled to be released at noon central time on the last working day of each week. The international rig count and North American workover rig counts are scheduled to be released on the 5th working day of the month. Additional detailed information on the Baker Hughes rig counts is available from our website at http://www.bakerhughes.com/investor/rig .

Baker Hughes is a leading provider of drilling, formation evaluation, completion and production products and services to the worldwide oil and gas industry.

NOT INTENDED FOR BENEFICIAL HOLDERS

Contacts:
Gary R. Flaharty (713) 439-8039
H. Gene Shiels (713) 439-8822

SOURCE Baker Hughes Incorporated

Gary R. Flaharty, +1-713-439-8039, or H. Gene Shiels, +1-713-439-8822, both of Baker
Hughes Incorporated

http://www.bakerhughes.com