Viking Supply Ships, an offshore oil and gas maritime support specialist, has announced the closure of its Canadian Office.
The Swedish based company announced the news Wednesday, citing the ongoing ‘deteriorated market’ as the reason behind the move.
As well as its Gothenburg headquarters, Viking Supply currently operates offices in Denmark, Norway, and from two different location in Russia.
Viking Forced To Shutdown Canada Office
The closure is scheduled to be finalised within days, although Viking has pledged its commitment to the continued service of the Canadian offshore energy industry.
A statement released by Viking Supply read:
As an effect of the deteriorated market conditions within the oil and gas industry and as a measure to further strengthen the focus on cost efficiency within the company, Viking Supply Ships A/S has decided to close the office in St. John’s, Newfoundland with effect as of 28 April 2016.
Viking Supply Ships A/S still considers Newfoundland and Eastern-Canada to be of strategic importance going forward and in the future, commercial activities towards the region will be followed up closely by dedicated personnel from the company’s Headquarter in Copenhagen and the chartering division in the Kristiansand office.
No comment has been given on the future of the company’s Canadian workforce. However, due to the St John’s office being Viking’s only base in the Americas, and the extent of a move to Europe, it is not thought they will be relocated elsewhere.