Oilfield Services Headcount Continues to Shrink
The effects of the coronavirus outbreak and volatile oil markets are forcing many companies to continue with headcount reductions and facility closures.
Cameron Drilling recently announced plans to permanently close its entire plant facility at 2101 S. Broadway Avenue, Moore, OK 73160. Approximately 74 employees will be separated from employment, with 59 separations occurring during the 14-day period beginning June 23, 2020, and an additional 15 occurring during the 14-day period beginning July 20, 2020. The employee separations are expected to be permanent.
“We are trying our best to retain and transfer as many employees as possible,” the company stated in an April 15 notice to the Texas Workforce Commission.
“The speed and vast reach of the coronavirus outbreak, as well as the declaration of a national emergency, and national directives for individuals to avoid congregating, limit travel and to work remotely was unforeseeable and caused, and will continue to cause, among other things, a drastic impact on our business,” the company said in a written statement.
Meanwhile, Midland, Texas-based ProPetro also launched a mass layoff at its Hydraulic Fracturing Operations facility at 2518 FM 307 and its Coil Tubing Operations facility at #4 Industrial Loop in Midland on April 16. Approximately 18 employees were impacted at the Coil Tubing Facility while 566 were affected at the Hydraulic Fracturing Facility. The separations are permanent, according to the company.
Separately, in Houston Diamond Offshore Drilling reported a mass layoff at its corporate office at 15415 Katy Freeway, Houston, TX 77094 on April 15. About 102 employees will be impacted. The separations began on the date of the notice and are expected to be accomplished by April 28, 2020.
According to recent court documents, Diamond has also filed for bankruptcy. The company listed $5.8 billion of assets and $2.6 billion of debt in a Chapter 11 petition filed in Houston, citing year-end 2019 data.
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