Energy services firm Hunting is to cut jobs at its Aberdeen operating site.
The move is part of a restructuring process which will help save around £8.2 million ($10m) a year.
Hunting currently employs 98 staff at its operating base in Altens, known as Badentoy.
Graham Goodall, Hunting Europe, Middle East and Africa (EMEA) managing director, today confirmed “headcount will be reduced”.
He was unable to confirm how many jobs are at risk.
Hunting, which employs 2,367 people globally, has previously hit out against the UK’s controversial oil and gas taxation policy and the impacts of levies across EMEA region.
Badentoy “reducing” in numbers
Mr Goodall confirmed the Badentoy site will not be closing but said it is looking at transferring its well intervention manufacturing activities to its new facility in Dubai.
He said: “For Badentoy, we are looking to reduce some of the headcount here.
“That’s mainly due to the fact that we’re looking to move our well intervention manufacturing piece over to our new Dubai facility.
“It’s for efficiencies and distribution around the region more than anything.
“And then, on top of that, there will be some shared services in Badentoy positions that will be at that higher risk.”
When asked if the Badentoy site will be closing, Mr Goodall replied: “Absolutely not.
“It’s just reducing.
“The Badentoy site is a mixed site in that we have subsea based there, we have well intervention, and we have our OR product line.
“That’s quite a big site, but the impact is on the well intervention piece.”
When asked how may jobs were at risk Mr Goodall was unable to provide an answer.
He said: “It would be remiss of me to put a number on it at this point.”
‘Positive’ for Fordoun site
Hunting, which has its UK headquarters in London, employs 45 staff at Fordoun.
In a stock market update the firm has announced the proposed closure of its OCTG operating site in the Netherlands with all work being transferred to Fordoun.
Mr Goodall said: “The update for Fordoun is very positive, in the fact, we’re consolidating our OCTG manufacturing into Fordoun.
“Overall it is, for the UK piece, it’s still a positive, and we still have a big footprint based here.
“We still have a lot of activity and we still employ a lot of people.”
North Sea political landscape ‘a driver’
Hunting first announced it was looking to restructure in January.
Explaining the decision behind the proposals Mr Goodall said: “It’s no secret what’s been happening to policies, that has an impact on our business.
“The main driver is because of the current political landscape in the North Sea.
“We can’t continue to sustain the level of the workforce that we’ve got at this point in time.”
The firm wrote in a stock market update today: “The review of the segment included a detailed analysis of the medium-term outlook for the European region, in terms of future oil and gas drilling activity and an assessment of the longer-range operating footprint requirements of the wider Hunting Group.
“Once complete, these actions are expected to realise annualised cost savings of c.$10 million per annum, with the aim of restoring the EMEA operating segment to profitability by Q1 2026.”
The 90 day consultation period has now started.
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