Total E&P Denmark has announced plans to restructure its Danish oil and gas business in Esbjerg. The reorganization will provide a simpler and more focused structure that builds on the Total Group's broad experience and expertise, and aims to improve its competitiveness in the Danish part of the North Sea.
The decision to transform the organization must be seen in the light of a temporary decline of 40% of Total's Danish North Sea production due to the enormous conversion of the Tyra platforms. Production from the Tyra fields will close at the end of 2019, and when the new reconstructed Tyra starts again in 2022, it will continue to play an important role as a Danish core infrastructure and treat more than 90% of the natural gas from the Danish North Sea.
Patrick Gilly, CEO of Total's activities in the Danish North Sea, says:
'We see an interesting potential in Denmark, and we want to become more competitive in order to continue to develop the potential of the increasingly challenging Danish underground in a sustainable way. The reorganization we have announced today will change our way of working, so that we can produce more efficiently and better utilize the talents and abilities of our talented employees while still focusing on safety and environmental impact. Unfortunately, the changes mean that a number of valued colleagues will leave us. During this difficult process, we will do our best to provide support to the affected employees. We will endeavor to reduce redundancies by offering our employees alternative jobs within for the Total Group '.
There are currently about 1,500 employees in Total E&P Denmark based in Esbjerg, and up to 200 employees and a number of external consultants are expected to leave the organization as a result of the transformation.
The restructuring in Esbjerg takes place in accordance with the rules in the Act on Mass dismissal and follows Danish law. The plans were announced today to Total employees based in Esbjerg as well as to those who work offshore at the plants in the Danish North Sea.
Total's organization in Copenhagen, which is home to the management of the North Sea and Russia region, technology and support functions and Marketing & Service for the Nordic countries, will not be affected. Around 360 employees work in the office in Copenhagen.