Oilfield services firm Halliburton Co. has laid off roughly 1,000 employees, or 22% of staff, at its corporate headquarters in Houston, a company spokeswoman said May 6, as oil prices collapse.
The cuts by one of the biggest names in oilfield services comes with oil prices having plunged to around $24/bbl, far below production costs for many firms, prompting oil and gas explorers to slam the brakes on drilling. Companies that provide drilling equipment and services have been among the hardest hit.
Halliburton, which had roughly 4,500 employees at its corporate headquarters in Houston, said the cuts were in addition to reductions across its global operations.
"These actions are difficult but necessary as we adjust our business to customers' decreased activity," said spokeswoman Emily Mir. She attributed the layoffs to the "unforeseeable, dramatic business downturn caused by the coronavirus and unprecedented commodity price decline."
Halliburton, the largest provider of hydraulic fracturing services in North America, in March said it would furlough 3,500 employees in Houston, and has since made additional job cuts across its U.S. operations. Executives have also taken a salary cut, and the company cut its capital spending by roughly 50%.
Recommended Reading
E&Ps Pivot from the Pricey Permian
2025-02-01 - SM Energy, Ovintiv and Devon Energy were rumored to be hunting for Permian M&A—but they ultimately inked deals in cheaper basins. Experts say it’s a trend to watch as producers shrug off high Permian prices for runway in the Williston, Eagle Ford, the Uinta and the Montney.
Huddleston: Haynesville E&P Aethon Ready for LNG, AI and Even an IPO
2025-01-22 - Gordon Huddleston, president and partner of Aethon Energy, talks about well costs in the western Haynesville, prepping for LNG and AI power demand and the company’s readiness for an IPO— if the conditions are right.
Shale Outlook: E&Ps Making More U-Turn Laterals, Problem-Free
2025-01-09 - Of the more than 70 horseshoe wells drilled to date, half came in the first nine months of 2024 as operators found 2-mile, single-section laterals more economic than a pair of 1-mile straight holes.
Sitio Fights for its Place Atop the M&R Sector
2025-04-02 - The minerals and royalties space is primed for massive growth and consolidation with Sitio aiming for the front of the pack.
Hibernia IV Joins Dawson Dean Wildcatting Alongside EOG, SM, Birch
2025-01-30 - Hibernia IV is among a handful of wildcatters—including EOG Resources, SM Energy and Birch Resources—exploring the Dean sandstone near the Dawson-Martin county line, state records show.