Active oil and gas rigs in the U.S. jumped by 10 this week to 491, the eighth consequence week of increases, according to a report out Friday by oil services provider Baker Hughes (BHI) .

Canadian rigs, meanwhile, were down by 5 to 121. U.S. gas rigs were unchanged at 83 and miscellaneous rigs were also unchanged at 2. The U.S. offshore rig count, meanwhile, is up 1 from last week but down 14 rigs year-over-year.

The number of active U.S. rigs is still down by 394 over the same week last year, with Canadian rigs down 87.

As of last week the U.S. had 481 active rigs and Canada had 126. International rigs amounted to 938 in July, down 180 over the same time last year.

The news comes as U.S. producers, enthused about oil prices approaching the $50 per barrel mark as well as improving natural gas prices, are beginning to add rigs with an eye toward production growth next year.

Seaport Global Securities is forecasting rig count to slowly build from 365 in the second quarter to 400 in the third quarter, 450 in the fourth quarter and 650 by the end of next year.

Jefferies & Co. said in a report Monday that half of the companies it covers has plans to add 20 rigs in the second half of this year. They include seven in Appalachia, with five in the Marcellus -- by Southwestern Energy (SWN - Get Report) and Consol Energy (CNX - Get Report) , who were both previously running no rigs at all -- and two rigs in the Utica (by Continental Resources (CLR - Get Report) and Gulfport Energy (GPOR - Get Report) ).

The firm said companies also plan to add rigs in the Permian, with nine in the Midland Basin -- by Encana (ECA - Get Report) , Apache (APA - Get Report) , EP Energy (EPE - Get Report) , RSP Permian (RSPP) and Pioneer Natural Resources (PXD - Get Report) -- and two rigs in the Delaware Basin (by Cimarex Energy (XEC - Get Report) ). One rig will go to work in the Fayetteville (by Southwestern), a play that has had zero active rigs since Jan. 1, the firm said.

Jefferies said production estimates for this year were boosted by 18 companies within its 25-member coverage group. And while the firm still expects flat production overall for the year, it expects 2017 production to be up 3%.

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