Danish based Maersk Oil has announced that it is looking to close the North Sea Janice platform, with the potential loss of 200 job.
Maersk have said they will look to stop production around the third quarter of 2016, with job losses coming from both on and offshore.
Maersk Oil now need to seek permission for the closure from the UK’s new offshore oil and gas regulator the Oil and Gas Authority (OGA).
Speaking to Offshore Post, a Maersk spokesman made the following statement, “As a result of ongoing challenges in the market and Maersk Oil’s cost transformation process, the UK business has announced consultation on a proposed move to a 3 weeks on, 3 weeks off offshore rotation, to be implemented in the second quarter of 2016.
The business will also approach the OGA to seek approval to cease production from its Janice installation in the second or third quarter of 2016, moving the business from three operational asset areas to two.
All options will be explored through consultation to minimise impact on positions, but it is possible that an estimated 200 onshore and offshore roles may be affected as a result of the proposals outlined today.
This is a very unsettling period for colleagues. The business will offer as much support throughout the process as possible and remain focused on maintaining safe and reliable operations.’ ENDS
Janice Offshore Platfrom
The Janice, located 150 miles (241km) east of Aberdeen, produced first oil back in 1998. The semisubmersible Floating Production Unit (FPU), is 30 years old herself, being an accommodation barge in her original life.
Original recoverable reserves were estimated to be 70 million barrels of oil.
With current reserves nearly exhausted, the costs of production high and the price of a barrel currently around $40 a barrel, the Janice is one of many offshore platforms in the UK North Sea waters that has either already ceased production or has publicly announced plans to do so in the last 12 months.