Tullow Oil is preparing to cut dozens of jobs as part of a plan to exit Norway.
The UK-based company told Energy Voice on Friday that it has decided to sell its Norwegian exploration and development and exit the country.
Tullow will cut 50 jobs as part of the exit, Energy Voice said.
The company has not confirmed how many jobs it will cut as part of the move.
Tullow’s most recent offshore Norway well failed to encounter any hydrocarbons at the Rome Prospect in July.
According to Rigzone, Tullow currently holds 34 licenses in Norway and had scheduled four exploration wells to be drilled in the country this year.
Tullow has not disclosed if it will continue drilling in Norway this year.
The company told Rigzone it has notified the relevant authorities about its plan and has begun the consultation process with its staff.
“This difficult decision has been made in response to the ongoing challenges presented by a low oil price and the need to prioritize our investment in our core portfolio in Africa and South America. We also need to consolidate our cost base,” Tullow told Energy Voice.
Tullow has not provided any more details about the exit.
Tullow said late last month that it booked $541 million in revenues for the first half of 2016, down 34 percent year-over-year.
The company reported a $182 million gross profit for the first half of the year, down 47 percent from the same period last year.
Tullow’s operating profit fell 72 percent year-over-year to $27 million in the first half of 2016.