Archer to cut up to 10% of workforce in UK, Norway and Argentina

Archer news
Archer news

Archer said it plans to make reductions to its headcount by up to 10% in the second quarter of the year from its operations in the UK, Norway and Argentina.

The company said it expects its capital expenditure for the year to be between $20million and $30million which will represent expenditures to replace or extend the life of existing assets.

The firm said it predicts there might be a “slight recovery” in activities which do not require significant investment and are helping customers take advantage of the low cost environment.

In a statement Archer said it would be focusing its business on items it could “control” in line with its values.

Archer said the amounts available to it under the revolving multicurrency credit facility would be reduced to $625million on or before May 30th.

It expects Seadrill to provide new financing to the company amounting to $75million which will be contributed in form of subordinated debt in the month of May 2016.

The company’s first quarter revenue was $229.2million, while its net loss in the first quarter was $27.8million and its business was realigned into two reporting segments of the Eastern Hemisphere and Western Hemisphere.