Shell 'planning 1,500 job cuts'

[UpInArms]

http://www.ananova.com/business/story/sm_897800.html

Oil giant Royal Dutch/Shell is planning to streamline its operations in Nigeria, cutting jobs in a bid to boost oil production by half a million barrels a day.

<snip>

Shell already pumps about half of all oil produced in Nigeria, which is the source of one-fifth of United States oil imports.

<snip>

Last September when Shell's plans were first mooted, police fired tear gas to disperse disgruntled union employees picketing Shell's Lagos headquarters during a 10-day strike to demand job security.

more at link

Didn't Shell recently have to give a more "accurate" accounting for their reserves? Didn't the CEO just resign?

What exactly is going on here?

[kalian]

1. What's going on....? Its called Peak Oil....

enjoy...

[daleo]

2. "cutting jobs in a bid to boost oil production"

"cutting jobs in a bid to boost oil production by half a million barrels a day."

I can see how cutting jobs could boost profits, but I don't see how it can boost production.

[pinniped]

4. This is bizarro world, things don't have to make sense.

But I also fail to see the logic in that statement.

[TrueStory]

3. Link not working, similar information on Guardian

http://www.guardian.co.uk/business/story/0,3604,1174882,00.html

In January the loss of the nearly 4bn barrels, which was about 20% of the group's total oil reserves, led to a fall in the share price and an investor backlash. Sir Philip Watts, the firm's former chairman, was ousted earlier this month. But his replacement, Jeroen van der Veer, is also under scrutiny for his role in the debacle.

...

Shell is believed to be announcing today that it is sacking 1,500 staff in Nigeria - or 30% of its workforce in the country - and attempting to boost the production of oil from the region.


...and some more to come:

http://observer.guardian.co.uk/business/story/0,6903,1174282,00.html

The executives fear a review of the reserves by external consultant Ryder Scott will result in yet more downgrades. The cut of 250 million barrels for 2002 and a further 220 million planned for 2003 came when the review was only 40 per cent complete.

'They are very scared about what they'll find in the remaining 60 per cent,' said one oil industry expert.

[TheFarseer]

5. You guys! this is great news!

Now Shell can take the savings they are getting from slashing jobs to create more jobs! You're just not seeing the big picture lol