Noble Energy Inc. may lay off up to 197 employees as a result of the company’s merger with Clayton Williams Energy (CWEI) and subsequent closing of CWEI’s Midland, Texas office.

Noble Energy announced Jan. 16 that it was buying CWEI for $2.7 billion to expand in the Permian. According to communication received by the Texas Workforce Commission (TWC) March 8, the merger is expected to be completed April 19, 2017. Shortly after, there will be workforce reductions at CWEI due to the office closing in Midland. The closure is expected to take place Dec. 31.

Currently, 123 people work at the CWEI office and 74 work in the field. Current CWEI employees will have the opportunity to pursue open roles in other Noble Energy locations, a Noble spokesperson said in an email to Rigzone. In addition, most CWEI employees who work in the field are expected to remain employed in their current locations.

The first layoffs will occur May 5 and remaining separations will occur throughout following months.

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