US energy companies have cut the number of oil rigs in operation for a seventh consecutive week, as producers continue to implement plans to cut spending on new drilling this year, according to Reuters sources.

Baker Hughes Energy Services said in its closely watched weekly report that the number of active oil rigs in the United States fell by three rigs a week, bringing the total to 710, the lowest since May 2017. In the same week a year ago, there were 861 rig in operation.

The drop in the number of rigs helped cut US crude oil output in July to 11.81 million barrels per day, the third monthly decline, from a record high of 12.12 million barrels per day in April, according to a monthly report by the US Energy Information Department.