April 9 (Bloomberg) -- The number of oil and natural gas rigs operating in the U.S. fell to the lowest in almost six years as natural gas producers cut exploration, according to data published by Baker Hughes Inc.

Rigs exploring for or producing oil and gas fell by 38, or 3.6 percent, to 1,005, the lowest level since May 2, 2003.

Baker Hughes said in a report today that natural gas rigs fell by 18 to 790, the lowest since April 11, 2003. The gas rig count has fallen 51 percent since reaching a peak of 1,606 in September.

U.S. oil rigs declined by 20, or 9 percent, to 204. The oil rig count is down 54 percent from a peak of 442 on Nov. 7.

Lower prices for both natural gas and oil since reaching peaks last July prompted a reduction in drilling activity.

Natural gas for May delivery fell 2 cents, or 0.6 percent, to settle at $3.61 per million British thermal units today on the New York Mercantile Exchange. Gas has declined 36 percent this year and is down 74 percent from a 2008 high of $13.694 reached on July 2.

Crude oil traded on the exchange has declined 65 percent since reaching a record $147.27 a barrel on July 11. Crude gained $2.86, or 5.8 percent, to $52.24 a barrel today.

Baker Hughes, the world’s third-largest oilfield-services provider, and its predecessor, Hughes Tool Co., have issued U.S. and Canadian rig counts since 1944 and international ones on a monthly basis since 1975. The largest oilfield services companies are Schlumberger Ltd. and Halliburton Co. Baker Hughes is based in Houston.

To contact the reporter on this story: Reg Curren in Calgary at rcurren@bloomberg.net.

Last Updated: April 9, 2009 18:08 EDT