John Fredriksen’s Seadrill has revealed during its fourth quarter results that cost cutting by the company led to the loss of over 2,300 jobs in 2015.
The company cut a total of 2,347 jobs through the year, bringing staff numbers down from 9,450 to 7,103. The reduction comprised 1,817 offshore workers and 530 onshore workers.
Seadrill said that around 25% of its $832m in cash savings for 2015 was brought about from the staff reductions, and that in 2016 the company is targeting a further $260m of savings which includes further focus on headcount reductions.
For the fourth quarter Seadrill achieved revenues of $959m, down $26m on the previous quarter, while net operating income was $223m.
“During the fourth quarter we experienced our best operational quarter of the year, while continuing to reduce our cost base. Safe and efficient operations remain at the heart of what we do as we continue to drive down costs. In the face of the severe downturn in our industry our priorities for 2016 are to conserve cash and address our financing needs,” said Per Wullf, CEO and president of Seadrill Management, commenting on the results.