Maersk Oil to cut 220 United Kingdom jobs among 1250 losses

Nonetheless, Maersk believes it will still be operating in a low price oil environment by next year and so, it is necessary for them to say “cost-focused”.

Maersk Oil, part of Danish conglomerate A.P. Møller-Maersk A/S, is planning to enforce job cuts globally as crude prices continue to fall.

The company said Monday it would cut between 10 percent and 12 percent of the workforce as it looks to reduce expenses. The company’s operations in Denmark and Kazakhstan and its Copenhagen headquarters will see slightly lesser number of job reductions.

Chief executive Jakob Thomasen said: “These are hard decisions and my immediate concern is for the welfare of those affected”.

Maersk Oil has already begun making the cut-backs and the realignment of its portfolio, with 60 of the oil company’s employees working on the major Chissonga project in Angola laid off in September, while 110 jobs relating to the project were cut at offices in Houston and Angola’s capital, Luanda, at the beginning of the year.

Developing the Culzean gas field in the United Kingdom North Sea is among the projects Maersk Oil will focus on. “I commend our people for the improvements in our operating performance whilst we have been managing down costs across the organization”.

The company also stated in August plans to move offshore staff to a three weeks on three weeks off rotation from two weeks on and four weeks off now, with a view to implementing the change in work patterns in the second quarter of 2016.

Maersk Oil produces approximately 550,000 barrels of oil equivalent per day.

Parent company A.P. Moeller-Maersk on Friday warned that a weaker market for Maersk Line, the world’s largest container shipping company and a global trade bellwether, would weigh on annual profits.