Petronas Says NST's Job Cuts Article is 'Misreported and Inaccurate'

Malaysia's state-owned Petroliam Nasional Berhad (Petronas) clarified Sunday that a local newspaper's article published Saturday saying that the firm plans to trim its workforce by more than 10 percent was "misreported and inaccurate", the firm said in a press release.

In an article entitled "Petronas Trimming Expenditure," the New Straits Times (NST) reported that the Malaysian national oil company plans to reduce its workforce by around one-tenth "as part of measures to lower operating cost in response to the plunging global oil prices," the newspaper said, citing unnamed company officials.

"The downsizing and restructuring would include axing redundant positions and underperforming staff," the NST article revealed, quoting a company official who disclosed that these issues were raised at a senior management briefing last week that was led by Petronas CEO Shamsul Azhar Abbas.

Responding to the NST article, Petronas "would like to clarify that the report was misreported and inaccurate".

Petronas also commented that it will "make Capital Expenditure (Capex) deferments and reductions in Operational Expenditure (Opex) in response to the recent steep 60 percent decline in oil prices. The deferments would reflect the change of environment in the global oil and gas industry to ensure its resilience through the low oil price period."

After announcing Petronas third quarter 2014 financial results Dec. 1, CEO Shamsul indicated that the Malaysian national oil company may reduce capex by 15 to 20 percent this year assuming Brent crude oil trade at around $70 to $75 a barrel. Brent oil prices have since declined further, with the crude trading at around $49 a barrel Monday.



Have a news tip? Share it with Rigzone!
Email news@rigzone.com

WHAT DO YOU THINK?

Click on the button below to add a comment.
Post a Comment
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE

More from this Author
Rigzone Staff
e-mail us at news@rigzone.com
 -  LyondellBasell Plans Its Largest Inves... (Jul 21)
 -  Preparing a Mechanical Engineering Res... (Jul 19)
 -  Tesoro Signs Deal with Pemex to Enter ... (Jul 19)
 -  Irish Gas Grid Could Receive LNG from ... (Jul 19)
 -  What's It Take to Land a Job as a Petr... (Jul 14)


Most Popular Articles

From the Career Center
Jobs that may interest you
Engineering Intern
Expertise: Student / Recent Grad
Location: Phoenix, AZ
 
Site Craft Recruiter
Expertise: HR - General|HR - Recruitment
Location: Alvin, TX
 
Executive Assistant
Expertise: Secretarial or Administrative
Location: Houston, TX
 
search for more jobs

Brent Crude Oil : $49.3/BBL 0.80%
Light Crude Oil : $46.79/BBL 0.70%
Natural Gas : $3.04/MMBtu 0.97%
Updated in last 24 hours