By DARA BUTTERFIELD
Aberdeen-based Rowan Drilling UK has issued an ‘at risk of redundancy notice’ to its entire staff of over 900 people blaming current difficulties within the industry.
The company’s offshore workers have also reportedly received a letter informing them of the start of the redundancy consultation process.
The letter to staff explains that the “dramatic reduction in the price of oil, coupled with escalating costs, has led to a slow-down in drilling activity”.
Rowan Drilling is in negotiations with customers to keep the Gorilla V and Gorilla VII – two of their three rigs – contracted. The company warned that even if these are successful it is likely both rigs will be subject to a period of inactivity for the latter part of this year before commencing drilling in the early part of 2016.
The Rowan Stavanger is believed to finish its assignment in early June, with no firm contracted work beyond that despite continued marketing efforts.
The job cuts follow a similar move by oil and gas services company Rigmar earlier this week announcing job cuts to its Dundee workforce.