Baker Hughes Announces September 2003 Rig Counts

International Rig Count Up 2% From August 2003; Up 9% From One Year Ago Worldwide Rig Count Down 2% From August 2003; Up 22% From One Year Ago

HOUSTON, Oct 7, 2003 /PRNewswire-FirstCall via COMTEX/ -- Baker Hughes Incorporated (NYSE: BHI; PCX; EBS) announced today that the international rig count for September 2003 was 792 up 13 from the 779 counted in August 2003, and up 65 from the 727 counted in September 2002. The international offshore rig count for September 2003 was 229, up 13 from the 216 counted in August 2003, and down four from the 233 counted in September 2002.

The US rig count for September 2003 was 1,093, up three from the 1,090 counted in August 2003 and up 233 from the 860 counted in September 2002. The Canadian rig count for September 2003 was 348, down 56 from the 404 counted in August 2003 and up 98 from the 250 counted in September 2002.

The worldwide rig count for September 2003 was 2,233 down 40 from the 2,273 counted in August 2003 and up 396 from the 1,837 counted in September 2002.

     September 2003 Rotary Rig Counts

                     September 2003           August 2003     September 2002
                     ---------------         --------------   ---------------
                    Land   OS  Total  Var.  Land   OS  Total  Land  OS  Total
     ------------------------------------------------------------------------
       Europe         40   47     87   (1)    37   51    88     30   51    81
       Middle East   186   29    215    6    188   21   209    165   41   206
       Africa         34   16     50   (2)    37   15    52     35   28    63
       Latin
        America      199   60    259    9    195   55   250    162   45   207
       Asia Pacific  104   77    181    1    106   74   180    102   68   170
     International   563  229    792   13    563  216   779    494  233   727
       United
        States       984  109  1,093    3    980  110 1,090    746  114   860
       Canada        343    5    348  (56)   399    5   404    246    4   250
     North America 1,327  114  1,441  (53) 1,379  115 1,494    992  118 1,110
     ------------------------------------------------------------------------
     Worldwide     1,890  343  2,233  (40) 1,942  331 2,273  1,486  351 1,837
     ========================================================================


     September 2003 Workover Rig Counts

                       September 2003    Var.  August 2003   September 2002
     -----------------------------------------------------------------------
       United States         1,187        53       1,134         1,027
       Canada                  348       (29)        377           253
     -----------------------------------------------------------------------
     North America           1,535        24       1,511         1,280
     =======================================================================

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

Gary R. Flaharty, +1-713-439-8039, or
gary.flaharty@bakerhughes.com , or Kyle J. Leak, +1-713-439-8042, or
kyle.leak@bakerhughes.com , both of Baker Hughes Incorporated

http://www.bakerhughes.com