The chief executive of Oil & Gas UK said companies are being faced with “difficult decisions” as oil major BP announced 600 job losses from its North Sea operations.
The head of the industry body said the low oil price has impacted “heavily” on activity across the UKCS.
Today, BP said it had informed staff members of plans to cut its North Sea headcount by 20% amid “toughening market conditions”.
About 600 of the 3,000 staff members and agency contractors tied to the company’s North Sea operations will be made redundant, a spokesman for the company said.
Of the 3,000 staff members, 1,250 work in Aberdeen, 565 are employed offshore, 350 are based at Sullom Voe on Shetland, 330 are in the Grangemouth area, 150 are in London, while a further 250 are in South Korea on contracts linked to BP’s Quad 204 and Claire Ridge developments.
The chief executive said:”The plummeting oil price has impacted heavily on activity across the UK Continental Shelf. As a sector, we will have to build resilience against the toughening market conditions to get us through the months ahead and ensure an enduring industry for the future.”
“While Oil & Gas UK cannot comment on the commercial decisions made by its members, companies are having to take very difficult decisions in what continues to be a challenging time and we as an industry must be thoughtful and supportive of our colleagues who are being made redundant or facing uncertainty.
“Industry is working hard to ensure the sector continues to remain safe, efficient and competitive so that it can continue to support jobs, energy security and exports in the long-term.”
Earlier today Aberdeen City Council leader Jenny Laing said the local authority was working to help “anchor” the oil and gas supply chain for the long-term in the North-East.
Recommended for you
