Baker Hughes Announces June 2005 Rig Counts

International Rig Count Up 1% From May 2005; Up 11% From One Year Ago; Worldwide Rig Count Up 4% From May 2005; Up 13% From One Year Ago

HOUSTON, July 11, 2005 /PRNewswire-FirstCall via COMTEX/ -- Baker Hughes Incorporated (NYSE: BHI) announced today that the international rig count for June 2005 was 932 up 13 from the 919 counted in May 2005, and up 91 from the 841 counted in June 2004. The international offshore rig count for June 2005 was 291, up 16 from the 275 counted in May 2005 and up 48 from the 243 counted in June 2004.

The US rig count for June 2005 was 1,355, up 35 from the 1,320 counted in May 2005 and up 180 from the 1,175 counted in June 2004. The Canadian rig count for June 2005 was 293, up 46 from the 247 counted in May 2005 and up 28 from the 265 counted in June 2004.

The worldwide rig count for June 2005 was 2,580, up 94 from the 2,486 counted in May 2005 and up 299 from the 2,281 counted in June 2004.

June 2005 Rotary Rig Counts
                  June 2005                May 2005              June 2004
                    Land   OS  Total  Var.  Land   OS  Total  Land   OS  Total
     -------------------------------------------------------------------------

      Europe          25   53     78    6     27   45     72    29   47     76
      Middle East    210   38    248    3    211   34    245   190   36    226
      Africa          36   17     53    7     33   13     46    34   16     50
      Latin America  261   67    328   -2    264   66    330   231   61    292
      Asia Pacific   109  116    225   -1    109  117    226   114   83    197
                     ---  ---    ---   --    ---  ---    ---   ---   --    ---
     International   641  291    932   13    644  275    919   598  243    841
      United States 1259   96   1355   35   1229   90   1320  1080   95   1175
      Canada         289    4    293   46    244    3    247   261    4    265
                     ---    -    ---   --    ---    -    ---   ---    -    ---
     North America  1548  100   1648   81   1473   93   1567  1341   99   1440
     -------------------------------------------------------------------------
     Worldwide      2189  391   2580   94   2117  368   2486  1939  342   2281



     June 2005 Workover Rig Counts
                            June 2005   May 2005    June 2004
                              Total       Total       Total
                              -----       -----       -----
     United States             1309        1336        1169
     Canada                     508         466         575
                                ---         ---         ---
     North America             1817        1802        1744

    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