Maersk Oil cut another 40 jobs from its Growth division

Maersk Oil offshore rigMaersk Oil cut another 40 jobs from its Growth division, as part of cost reduction program approved by the company, which aims to reduce costs by 20%. The affected employees are based in offices in Copenhagen, Aberdeen and Stavanger, currently engaged with business development through targeted mergers and acquisitions. The company will follow the legal requirements for early announcement of the employees and will follow all approved social commitments. The cost reductions are part from the restructuring program of the oil company, which suffers from low liquidity and cash flows amind low oil prices and overcapacity on the market.

“Any reduction in staff is deeply regrettable, and we recognise this will be unsettling for our employees. Today‚Äôs changes are necessary to ensure our organisation reflects the current market and aligns our costs to our activities. We must continue to balance the realities of the tough market conditions with the growth agenda for Maersk Oil”, said the CEO of Maersk Oil, Jakob Thomasen.

Maersk Oil has improved operational performance and reduced the breakeven price of its balance by 5 USD per barrel – from 45-55 USD per barrel to 40-45 USD per barrel. However, the company continue with looking for cost reductions and improvement of the breakeven price of its product.

Maersk Oil is a Danish oil and gas company, owned by the A. P. Moller-Maersk Group. The company is operating in the field of offshore oil and gas exploration and production. The company extended its business during the years of high oil prices and operate production of 550,000 barrels of oil equivalent per day. Production comes from Denmark, UK, Qatar, Kazakhstan, the US Gulf of Mexico, Algeria and Brazil.