Noreco Norway AS, a subsidiary of Norwegian Energy Company ASA, has announced significant redundancies, as part of an overall cost reduction plan.
Namely, the company is seeking to limit capital commitments over all and exploration activities in particular. Significant reduction in staff and costs is necessary to align the organisation and cost base with the activities of the company going forward.
According to Noreco, the number of employees will be reduced from the current 30 by approximately 50 per cent.
The company explained that the cost cutting initiatives will result in a minimum of 50 per cent reduction in the G&A monthly run rate compared to the beginning of the year.
Noreco also announced today the sale of its interest in the Norwegian shelf licenses PL274 and PL 274 CS.