Maersk Oil said Monday it will cut between 10 to 12 percent of its global workforce by the end of the year as part of a larger cost-cutting plan.
The Denmark-based company said it will reduce the number of employee and contractor roles at a range of Maersk Oil business locations as well as its headquarters.
Maersk’s business units in Qatar and Norway will implement reductions in line with the 10 to 12 percent range, with slightly lower reductions happening at the firm’s Danish operations, in Kazakhstan and at the company’s Copenhagen headquarters.
The company’s UK business has already outlined plans to reduce its headcount by around 220 positions.
Those cuts are tied to the retirement of the company’s Janice asset and changes to the offshore rotation, the company said.
Maersk also plans to cut 60 positions in Angola and the United States associated with delays at the Chissonga project that were announced last month.
The plan will bring the company’s total number of job cuts in 2015 to about 1,250 positions.
The cuts are part of a broader plan to shrink operating costs by 20 percent by the end of 2016.
“We are operating in a materially changed oil price environment and have taken necessary decisions to reduce activity levels through 2015, and ensure we focus where we can see adequate returns from our most robust projects,” Maersk Oil CEO Jakob Thomasen said.