Baker Hughes Announces July 2002 Rig Counts

HOUSTON, Aug 7, 2002 --

International Rig Count Down 3% From June 2002; Down 6% From One Year Ago; Worldwide Rig Count Up 2% From June 2002; Down 22% From One Year Ago

Baker Hughes Incorporated (NYSE: BHI; PCX; EBS) announced today that the international rig count for July 2002 was 705, down 25 from the 730 counted in June 2002 and down 43 from the 748 counted in July 2001. The international offshore rig count for July 2002 was 214, down 18 from the 232 counted in June 2002 and down three from the 217 counted in July 2001.

The US rig count for July 2002 was 851, up eight from the 843 counted in June 2002 and down 427 from the 1,278 counted in July 2001. The Canadian rig count for July 2002 was 266, up 61 from the 205 counted in June 2002 and down 53 from the 319 counted in July 2001.

The worldwide rig count for July 2002 was 1,822, up 44 from the 1,778 counted in June 2002 and down 523 from the 2,345 counted in July 2001.

     July 2002 Rotary Rig Counts

                       July 2002               June 2002        July 2001
                    ---------------         --------------   ---------------
                    Land   OS Total   Var.  Land  OS Total   Land   OS Total
    ------------------------------------------------------------------------
      Europe          34   44    78   (9)    34   53    87     35   63    98
      Middle East    165   36   201    0    163   38   201    151   30   181
      Africa          30   25    55    1     30   24    54     32   23    55
      Latin America  154   45   199  (17)   170   46   216    218   44   262
      Asia Pacific   108   64   172    0    101   71   172     95   57   152
    International    491  214   705  (25)   498  232   730    531  217   748
      United States  740  111   851    8    734  109   843  1,122  156 1,278
      Canada         257    9   266   61    197    8   205    315    4   319
    North America    997  120 1,117   69    931  117 1,048  1,437  160 1,597
    ------------------------------------------------------------------------
    Worldwide      1,488  334 1,822   44  1,429  349 1,778  1,968  377 2,345
    ========================================================================


     July 2002 Workover Rig Counts

                        July 2002     Var.     June 2002      July 2001
    ------------------------------------------------------------------------
      United States       1,036        30        1,006          1,295
      Canada                243        34          209            346
    ------------------------------------------------------------------------
    North America         1,279        64        1,215          1,641
    ========================================================================
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 are 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

Contact:
Gary R. Flaharty (713) 439-8039
gary.flaharty@bakerhughes.com
Kyle J. Leak (713) 439-8042
kyle.leak@bakerhughes.com
SOURCE Baker Hughes Incorporated

URL: http://www.bakerhughes.com/investor/rig