Oil prices jumped on Friday after Baker Hughes reported the number of rigs drilling for oil in the United States fell for the 26th consecutive week.
Drillers took a net four oil rigs out of U.S. oilfields in the previous week, bringing the national total to 642. At the same time last year, the rig count stood at 1,536.
U.S. crude futures closed up $1.13, or 1.95 percent, at $59.13 a barrel, having earlier touched a session low of $56.83. Brent crude oil for July was up $1.20 a barrel to $63.20, off a session low of $60.94.
The U.S. tight oil industry has been more resilient than many had expected, with falling costs helping sustain the revolution and possibly setting up another downward spiral.
Oil trader Andy Hall expects U.S. crude prices to rise above $65 a barrel despite the high global production of oil, citing the drop in the U.S. oil rig count as a factor.
"Despite a collapse in rig counts in the U.S., oil production has yet to register a sustained decline. But it will come," Hall said in a monthly letter to investors in his $3.3 billion Connecticut-based hedge fund Astenbeck Capital Management.