More than 70 UK jobs could go at French oil company Engie reorganises its headquarters.
Engie said in yesterday’s first quarter results announcement that the move was intended to help the firm become “more agile and closer to customers”.
It said the streamlining project could lead to “net job cuts” of 504 positions, including 312 in France, 116 in Belgium and 76 in the UK.
In February, the Paris-headquartered firm confirmed it was in the midst of a “transformation project” aimed at tackling low oil prices.
It said the project involved “widespread consultation, relocations and redeployments”.
Engie, formerly known as GDF Suez, said its UK exploration and production (E&P) business would be managed from its Aberdeen office.
Its E&P activities include the operatorship of the Cygnus gas field, which started production in the southern North Sea in December.
But the company said its London office would close in 2017 and that a staff consultation was under way.
In April, Engie any “job adjustments” linked to the reorganisation would be “solely voluntary”.
Engie recorded revenues of £16.5billion in the first quarter of 2017, up 3.2% year-on-year, partly thanks to increased gas sales and the start-up of assets in Mexico and Peru.
Its core earnings dropped 5.9% to £2.8billion due to a decrease in hydro production in France and lower hydrocarbon output.
In March, Engie sold its UK onshore petroleum exploration and development licence interests to Ineos.
Since then, Engie has agreed to sell its 40% stake in NuGen, the company behind the Moorside nuclear project in Cumbria, to Toshiba.