Employees have said their farewells to Maersk Drilling as the firm completes its merger with rival Noble (NYSE, Nasdaq: NE).
The two completed their deal this week, listing as one entity – Noble – on the Nasdaq Copenhagen and New York Stock Exchange, with a contract backlog of more than $4bn.
Jorn Madsen, the now former CEO of Maersk Drilling, has previously said around 500 of his firm’s 2,500 headcount would be cut as part of the move.
Noble has been asked to disclose how many people have been cut as part of the process, and how operations in the North Sea have been affected for both firms.
The company said that, now the process has closed, “the expectation is that the resulting process can be completed in time for all onshore employees to gain greater clarity about their future roles by the end of October”.
All offshore employees are being retained.
Noble said in its completion announcement that annual cost synergies of at least $125m are expected to be realised within two years.
© Supplied by IOGThe merger was announced last November, with shareholders of Maersk and Noble each owning 50% of the combined entity.
At the time, the firm highlighted the “compelling industrial logic” behind the move, which would create a company with “the scale, capabilities and resources to serve a broad range of customers”.
Noble CEO Robert Eifler restated that sentiment this week: “The fundamental industrial logic of the combination is clear and has only grown stronger over the past year, driven by steady improvements in the offshore drilling market and a deeper appreciation of the immense talent across this newly combined team.
“I’d personally like to thank the employees of both companies for their sustained focus on safety, integrity, and service as we have worked through this demanding transaction process.”
© Supplied by NobleGoodbye
A mix of former employees have given their thoughts on the combination.
Former chief operating officer Morten Kelstrup said it was a “massive milestone almost a year in the making”.
He added: “This also means that I will leave Maersk Drilling and I therefore want to take this opportunity to thank all my great colleagues, customers and partners for your collaboration and business over the past 4 years. It has been an awesome ride.”
© Maersk DrillingHead of HSSE Project development Andrew Bridges said the move he has “sadly meant saying goodbye” to the company.
“From the tropics to the arctic, and everything in between it’s been an adventure with ups and downs, made possible by some amazing friends and leaders.”
Petroleum engineer Natalie Sol Pereyra said it marks the end of her journey at Maersk Drilling “where I took my first steps into the offshore world” and thanked her friends and colleagues who have been part of it.
Closing the book on Maersk Drilling -Noble merger
The merger had been subject to a UK competition concern for a time, which ultimately saw the saw the sale of several “remedy rigs” to appease the CMA.
Noble said it expects to receive cash proceeds of $375m for the five jackups – Noble Hans Deul, Noble Sam Hartley, Noble Sam Turner, Noble Houston Colbert and Noble Lloyd Noble – which were offloaded to Shelf Drilling.