THE OPERATOR of Sullom Voe Terminal says there are a “number of ongoing enquiries for the provision of additional services” from the facility as a direct result of a drive to reduce operating costs, which included redundancies.
EnQuest said in its 2019 year results published on Thursday that job losses announced last year formed an “essential part of Sullom Voe Terminal’s future” as they ensured that the site “remains competitive for existing and future business”.
The operator had announced it would be cutting 80 jobs at the terminal.
As reported last week by Shetland News, EnQuest is also now putting all of its jobs at Sullom Voe Terminal and offshore up for review as a result of a low oil price and the coronavirus crisis.
It also aims to reduce operating costs across the company by around 35 per cent to circa $335 million.
The company said in its 2019 results that it had “achieved high plant availability and delivered safe and stable operations during the year” at Sullom Voe.
“The Oil & Gas Authority endorsed the revised SVT owner’s strategy to extend the life of the facility in support of maximising economic recovery for the 33 offshore fields that currently export crude oil through the terminal,” it added.
“In July, the Group announced essential organisational changes to the terminal to ensure that it remains competitive for existing and future business.
“These changes form an essential part of SVT’s future and as a direct consequence of EnQuest’s demonstrable progress in safely reducing SVT’s underlying cost basis, there are now a number of ongoing enquiries for the provision of additional services from the terminal.”
EnQuest’s report also highlights its decision not to restart production at the Heather and Thistle oil fields as it would not be financially viable for the company.
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