Baker Hughes Announces March 2004 Rig Counts

Baker Hughes Incorporated announced today that the international rig count for March 2004 was 799, up nine from the 790 counted in February 2004, and up 52 from the 747 counted in March 2003. The international offshore rig count for March 2004 was 236, unchanged from the 236 counted in February 2004, and up 28 from the 208 counted in March 2003.

The US rig count for March 2004 was 1,136, up 17 from the 1,119 counted in February 2004 and up 195 from the 941 counted in March 2003. The Canadian rig count for March 2004 was 462, down 106 from the 568 counted in February 2004 and up 13 from the 449 counted in March 2003.

The worldwide rig count for March 2004 was 2,397 down 80 from the 2,477 counted in February 2004 and up 260 from the 2,137 counted in March 2003.

Tables of the March 2004 Rotary Rig Counts are available on the Company’s website.

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.