A subsidiary of Chinese state-owned energy giant CNOOC said it is cutting hundreds of jobs in North America and the UK following the plunge in global oil prices.
Calgary-based Nexen Energy will reduce its workforce in North America by 340 employees and has started a “consultation process” which will see the UK lose around 60 jobs.
Reports claim it is also slowing work on the next phase of its Kinosis oil sands project in northern Alberta, which is expected to produce 70,000 barrels of oil per day.
Fang Zhi, Chief Executive Officer of Nexen said: “In response to the recent industry downturn that has affected all companies in the energy sector, a decision was made to conduct a thorough review of our organisation to ensure our long term viability and sustainability.
“While regrettable, these organisational changes are necessary to align the company with our reduced capital spending programme. We take these decisions seriously and all impacted employees have been treated fairly and with respect.”
CNOOC bought Nexen Energy in 2013. The job cuts are estimated to be around 13% of Nexen’s international workforce of more than 3,000.