Songa Offshore said Thursday that it will temporarily layoff over 400 employees as activity levels in Norway slow amid a service worker strike.
The company said that a “number of its rigs have been taken out of operations” as a weeks-long strike impacts Statoil operations.
Several of the company’s rigs in offshore Norway are currently not operating.
The Songa Endurance rig is out of operations and has been on force majeure rate since September 22.
The Songa Equinox rig is out of operations and on force majeure rate since September 26.
The Songa Enabler is out of operations and on force majeure rate since September 27.
The Songa Encourage is in operation but is expected to be impacted by the conflict in the first half of October, Songa Offshore said.
The Songa Delta is currently not expected to be impacted by the conflict.
Songa Offshore said the rigs going out of operations has prompted it to reduce offshore manning to the safety crew level
The company said that 65 offshore employees to date have received notices of temporary dismissal, with another 365 employees planned to receive notices.
The company expects that a total 430 employees will be temporarily dismissed because of the strike.
“This excludes any potential effects from Songa Encourage operations,” the company added.
Songa Offshore is not represented by the Norwegian Oil and Gas Association and added that, because it does not belong to the group, it is “not directly part of the conflict.”
The Norwegian Oil and Gas Association is an industry group representing oil and gas employers.
Industri Energi, a union representing Norwegian services workers, called a strike on September 21 after negotiations for a new pay deal fell apart.
About 300 service employees are participating in the strike.
The striking workers are employed by Schlumberger Norge, Baker Hughes Norge, Halliburton Norge, Oceaneering and Oceaneering Asset Integrity.
Earlier this week, the Norwegian Oil and Gas Association said that about 350 employees had received temporary lay off notices due to reduced activity levels caused by the strike.
According to Rigzone, Baker Hughes laid off 300 workers, Halliburton AS laid off 29 workers and Schlumberger Norge AS laid off 24 workers.
“All the people who work every day to keep a rig in operation no longer have anything to do as a result of the strike,” the Norwegian Oil and Gas Association said earlier this week.
Industri Energi said earlier this month that the strike actions could be escalated if a deal is not reached.