16th Sep 2014 12:55
LONDON (Alliance News) - BP PLC Tuesday said it had informed staff that it will be cutting 275 employee and contractor jobs in Alaska, with a further 200 expected to transfer to Hilcorp in early 2015 to match its reduced operational footprint in the state.
BP?s Alaska business will be smaller due to the sale to Hilcorp Energy Co of its interests in four North Slope oilfields, which was announced in April. BP is selling interests representing about 15% of its Alaska operations, which represents about 20,000 barrels per day in production.
The sale includes all of BP?s interests in, and transferring operatorship of, the Endicott and Northstar oilfields and a 50% interest in each of the Liberty and the Milne Point fields, it said. The sale also includes BP?s interests in the oil and gas pipelines associated with these fields.
"The expected reduction in workforce by 275 is in addition to the 200 people expected to transfer to Hilcorp. Together the reduction of 475 posts will represent a reduction of around 17% in our current Alaskan workforce, in line with the smaller business", said BP.
BP currently has about 2,250 employees and 475 agency contractors in Alaska.
?Our Alaska business is still very important to BP. It?s just a smaller business than it was before," the company said in a statement.
BP's shares were down 0.1% to 467.85 pence per share Tuesday afternoon.
By Joshua Warner; [email protected]; @JoshAlliance
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