Baker Hughes Announces July 2006 Rig Counts

HOUSTON, Aug. 7 /PRNewswire-FirstCall/ -- Baker Hughes Incorporated (NYSE: BHI; EBS) announced today that the international rig count for July 2006 was 921, up 15 from the 906 counted in June 2006, and up 10 from the 911 counted in July 2005. The international offshore rig count for July 2006 was 269, up 4 from the 265 counted in June 2006 and down 9 from the 278 counted in July 2005.

(1) Excluding Iran and Sudan, the international rig count for July 2006 was 921, up 15 from the 906 counted in June 2006, and up 67 from the 854 counted in July 2005. The international offshore rig count for July 2006 was 269, up 4 from the 265 counted in June 2006 and down 3 from the 272 counted in July 2005.

The US rig count for July 2006 was 1,681 up 16 from the 1,665 counted in June 2006 and up 283 from the 1,398 counted in July 2005. The Canadian rig count for July 2006 was 553, up 145 from the 408 counted in June 2006 and up 103 from the 450 counted in July 2005.

The worldwide rig count for July 2006 was 3,155, up 176 from the 2,979 counted in June 2006 and up 396 from the 2,759 counted in July 2005. (1) Excluding Iran and Sudan, the worldwide rig count for July 2006 was 3,155, up 176 from the 2,979 counted in June 2006 and up 453 from the 2,702 counted in July 2005.


    July 2006 Rotary Rig Counts

                       July 2006             June 2006         July 2005
                    Land  OS  Total  Var. Land   OS  Total  Land   OS  Total
    -------------------------------------------------------------------------

      Europe         22   49     71   -7    21   57     78    27   53     80
      Middle
       East         210   32    242    7   203   32    235   209   32    241
      Africa         43   16     59   11    35   13     48    31   15     46
      Latin
       America      261   62    323   -5   266   62    328   255   63    318
      Asia
       Pacific      116  110    226    9   116  101    217   111  115    226
                    ---  ---    ---    -   ---  ---    ---   ---  ---    ---
    International   652  269    921   15   641  265    906   633  278    911

      United
       States      1587   94   1681   16  1570   95   1665  1297  101   1398
      Canada        550    3    553  145   404    4    408   446    4    450
                    ---    -    ---  ---   ---    -    ---   ---    -    ---
      North
       America     2137   97   2234  161  1974   99   2073  1743  105   1848
    -------------------------------------------------------------------------
    Worldwide      2789  366   3155  176  2615  364   2979  2376  383   2759

(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)  July 2006 Totals excluding Iran and Sudan

                       July 2006             June 2006         July 2005
                    Land  OS  Total  Var. Land   OS  Total  Land   OS  Total
    -------------------------------------------------------------------------
      Middle
       East         210   32    242    7   203   32    235   158   26    184
                    ---   --    ---    -   ---   --    ---   ---   --    ---
    International   652  269    921   15   641  265    906   582  272    854
    -------------------------------------------------------------------------
    Worldwide
     Total         2789  366   3155  176  2615  364   2979  2325  377   2702



    July 2006 Workover Rig Counts

                           July 2006        Var.    June 2006     July 2005
    -------------------------------------------------------------------------
      United States           1641            6         1647         1368
      Canada                   760          234          760          540
                               ---          ---          ---          ---
    North America             2401          240         2407         1908


    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

CONTACT: Gary R. Flaharty, +1-713-439-8039, or H. Gene Shiels,
+1-713-439-8822, both of Baker Hughes Incorporated
Web site: http://www.bakerhughes.com
http://www.bakerhughes.com/investor/rig