A Review of the Nigerian Energy Industry

Halliburton 'cuts head count'

18 September 2014, News Wires – Oilfield services giant Halliburton is being forced to cut its Norwegian workforce by 46 due to a downturn in drilling-related work, according to a report.

The company intends to make an initial 23 workers redundant while another 23 will be temporarily laid off as part of “organisational changes” outlined by management in an internal bulletin to staff cited by Norwegian publication Stavanger Aftenblad.

The company logo of Halliburton oilfield services corporate offices is seen in HoustonManagement attributed the staff cuts to reduced project work until the end of the year as the company has seen a significant reduction in offshore drilling and well activity in recent months, stating the situation for the company’s Norway operation appeared “challenging” into 2015.

It follows spending cutbacks by Statoil that have seen the state-owned operator suspend or cancel contracts on three rigs as it streamlines its rig portfolio in the face of high costs.

Halliburton personnel working with drilling, drilling fluids and maintenance, as well as at onshore bases, will be most affected by the staff cuts.

A company spokesman was quoted as saying the outcome of its ongoing bids on contract tenders would be critical to determining the future staffing situation, adding it intended to re-hire laid-off workers if sufficient work could be secured.

Meanwhile, rival Weatherford was reported by Offshore.no to have secured a Nkr2.5 billion ($393 million) contract with Statoil to provide tubular running services on 19 drilling units within the latter’s portfolio over a period of six years, with an optional four-year extension.

The Halliburton staff cuts are the latest in a round of redundancies at a number of Norwegian contractors resulting largely from reduced platform maintenance and modification activity, as well as drilling.


– Upstream

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