Norwegian energy firm Statoil has confirmed it plans to cut an additional 500 jobs.
The company confirmed the job losses would affect workers in DPN (Development and Production Norway).
A spokesman for Statoil said: “We have made a decision to reduce the manning in DPN with approximately 500 positions.”
The confirmation follows sources revealing 500 jobs were set to go.
Statoil said the redundancies would be made between now and the end of 2016.
Two thirds of job losses will be made on land and a third offshore.
Arne Sigve Nylund, executive vice president for DPNorway, said: “The global oil and gas industry is facing serious cost and efficiency challenges. Statoil is carrying out an extensive improvement agenda intended to secure long-term operations and productivity on the Norwegian continental shelf.
“The manning level now set will ensure safe and efficient operations, plus the expertise needed for the tasks ahead.”
The staffing level has been determined as part of the annual competence and manpower review in DPN.
Earlier this year,the firm cut its capital spending plans and output targets, offering a higher return to investors after years of negative cash flow after dividend payment.
Profits for the Norwegian operator slumped 12% in July after maintenance work and asset sales hit its production output.
The firm employed more than 23,000 people in 2013.