Oilfield services firm Halliburton Co. said April 6 it was cutting about 350 employees in Oklahoma, according to a filing with the state, and that its executives would reduce their salaries amid a deepening oil price rout.
Staff cuts could begin this week at its Duncan, Oklahoma, facility, the filing said, and would be permanent. The facility is expected to remain open.
In addition to the salary reductions for executives, Halliburton will suspend certain contributions made to employee retirement accounts, the company said.
Energy companies have slashed spending since oil prices this year crashed more than 60%, taking prices below $30 a barrel, less than the cost of production. Halliburton last month said it would furlough 3,500 workers in Houston to cope with lower prices.
"This was a difficult decision, but is necessary action as we face challenging market conditions," spokeswoman Emily Mir said in an email.
As of the end of last year, Halliburton had about 55,000 global employees.
U.S. crude futures were trading at $26.85 a barrel on April 6, down about 3% after OPEC+ members delayed a meeting on output cuts.
Denver-based hydraulic fracturing firm Liberty Oilfield Services Inc. also announced workforce reductions in the past week. Liberty said it will cut 204 workers in North Dakota, on top of the 183 it was cutting in Colorado.
Shares of Halliburton were up 3.9% to $7.90. They are down 68% year-to-date.
Recommended Reading
Paisie: Oil Demand to Rise 1.2 MMbbl/d in Second Half
2024-07-28 - WTI’s price is expected to stay in the low $80s/bbl.
Woodside to Emerge as Global LNG Powerhouse After Tellurian Deal
2024-07-24 - Woodside Energy's acquisition of Tellurian Inc., which struggled to push forward Driftwood LNG, could propel the company into a global liquefaction powerhouse and the sixth biggest public player in the world.
US Using More, Storing Less NatGas in Summer 2024—EIA
2024-07-24 - Gas storage levels remain high, thanks to record production levels in 2023 and a warmer-than-typical winter.
Texas LNG, EQT Sign a 2-mtpa LNG Tolling Agreement
2024-07-24 - EQT will supply natural gas to Texas LNG, a 4- million tonnes per annum LNG export terminal planned for the Port of Brownsville, Texas.
Kissler: Mideast Tension Elevates Crude Prices—But for How Long?
2024-05-09 - Producers should be aggressive in locking in desirable crude oil prices on an abnormal market strength.