Shell UK Ltd set to
cut 250 North Sea
jobs
Energy giant Shell is to shed 250 posts from
its North Sea operation over the next year.
Employees and contractors will be affected
by the cuts, which target onshore positions
A
Shell spokeswoman said, “Shell UK Ltd is reorganising its
upstream onshore operations to better serve the needs
of its offshore facilities and to build a stronger long-term
business in the North Sea.
“Following staff consultation, Shell expects to reduce employee
and contractor headcount by a total of around 250 positions over
the next year.”
“Revisions to the onshore organisation will be implemented by
the end of 2014.”
“Shell is determined to ensure that it continues to deliver safe,
competitive operations in its North Sea portfolio and maximises
value from its operated assets.”
Shell produces around 12% of UK oil and gas and has interests
in more than 50 North Sea fields.
The company operates some 60 offshore and sub-sea
installations and three onshore gas plants at St Fergus,
Mossmorran and Bacton.
It is understood the jobs will go at Shell’s office in oil and gas
hub, Aberdeen.
In August, Parent company Royal Dutch Shell pledged to return
more than 30 billion US dollars (£18 billion) to investors over two
years, as quarterly profits rose by a third.
Earnings for the second quarter of 2014 excluding one-off
items increased 33% to 6.13 billion US dollars (£3.63 billion) but
chief executive Ben van Beurden said he was determined to get a
“tighter grip” on business performance and management.
Last month fellow oil giant Chevron announced it was to cut 225
jobs in Aberdeen as it reorganises its North Sea operations.
T
he US firm said employees, contractors and expatriate
workers will be affected.
The Scottish Government said it recognised that it
was a difficult time for workers affected by the announcement
and it hoped the redundancy figure could be reduced through
restructuring and relocation.
A spokesman said, “The Scottish Government will work closely
with Shell and with those who face redundancy to help them into
alternative employment through our Pace initiative.”
He added, “We welcome Shell’s continuing commitment to the
North Sea, particularly their ongoing investment over the next few
years of two billion dollars a year in Clair and Schiehallion, and
there is no indication that this will impact directly on North Sea
production or field development.
“As Oil and Gas UK has said, overall there was £14.4 billion
investment in 2013 and the industry intends to invest a further
£13 billion this year. This provides a clear signal that attractive
opportunities still remain in the North Sea.”
“However, as the report from Scotland’s Independent Expert
Commission on Oil and Gas made clear, a fundamental shift in the
way oil and gas policy is formulated is long overdue. Only with the
full powers of independence can we bring stability, predictability
and a long term positive future to the North Sea.” `
Original Source: http://www.hseinternational.co.uk/
shell-uk-ltd-set-to-cut-250-north-sea-jobs/
HSE INTERNATIONAL
7