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SHEL Shell Plc

2,903.50
2.50 (0.09%)
26 Apr 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
Shell Plc LSE:SHEL London Ordinary Share GB00BP6MXD84 ORD EUR0.07
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  2.50 0.09% 2,903.50 2,904.00 2,904.50 2,913.50 2,891.50 2,901.50 8,130,538 16:35:18
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
Crude Petroleum & Natural Gs 316.62B 19.36B 2.9802 9.74 188.64B

Shell to Cut 250 North Sea Jobs

26/03/2015 2:10pm

Dow Jones News


Shell (LSE:SHEL)
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LONDON-- Royal Dutch Shell PLC said Thursday that it would eliminate at least 250 jobs in its U.K North Sea operations this year, the latest workforce cut for big energy companies trying to reduce spending as crude trades for about half its 2014 peak.

The job cuts come on top of the 250 positions Shell eliminated last summer from its U.K. operations and represent another blow to a North Sea oil industry that has seen its often high-cost projects upended by an oil-price collapse.

Shell, which has about 94,000 employees world-wide, had been trying to cut costs even before the oil price began falling, after being criticized by investors for years of heavy spending on big projects.

The company said the cuts "are part of a range of initiatives Shell has been pursuing to manage costs" world-wide, and will include staff and contractors. Shell said its U.K. North Sea business has about 2,400 workers, excluding those on service contracts where outside companies control staffing levels.

Other oil companies have also been attempting to reduce costs and rein in spending since oil prices began falling last summer. Brent crude, the global benchmark, traded for almost $115 a barrel last July but was selling for about $58 on Thursday.

In addition to Shell's cuts, oil-field-services giant Schlumberger Ltd. said in January it would cut 9,000 positions. France's Total SA said it would cut 2,000 jobs by 2017. BP PLC said in January it would cut about 200 North Sea employees and 100 contractors. South African petrochemicals produces Sasol Ltd. said in March it cut 1,500 jobs and cut back on capital projects.

Companies operating in the U.K.'s aged North Sea fields have been struggling for years. After a 1980s boom that led to a world oil-supply glut, the North Sea's oil fields have become less productive and more expensive than in the past. Companies there are on the hook for the costs of decommissioning old platforms, and everyday operating expenses have also gone up in recent years.

Earlier this month, the U.K. government announced tax cuts and incentives for oil and gas companies to extend the lives of North Sea fields.

Write to Justin Scheck at justin.scheck@wsj.com

Subscribe to WSJ: http://online.wsj.com?mod=djnwires


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