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Drop In Oil Prices, Low Demand Due To Coronavirus And Other Factors Punish The Oil And Gas Industry Even Further
Oil and gas, the sector that struggles more every day! The new news hits the oil platform maintenance segment. Petrobras suspended maintenance contracts for floating production units (platforms), impacting about 4,500 workers.
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The state-owned company’s decision to suspend maintenance-related contracts is due to the consequences of the ongoing pandemic and the low price of oil barrels. In a recently published article by us at Click Petroleum and Gas, the company announced that it is burning about US$ 1 billion a month with the current price of oil.
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According to sources consulted by Petronotícias, 4,500 employees were demobilized from their work positions in response to the company’s decision. Companies providing platform maintenance services were instructed to keep only a small group onboard, of 10 to 15 professionals, to meet the emergency needs of the units.
The main service providers affected by the decision were:
1 – Estrutural – 300 workers
2 – CSE/Aker – 350 workers
3 – Cobra – 500 workers
4 – MotaEngil – 700 workers
5 – Vince/Actemium – 900 workers
6 – Imetame – 700 workers
Support vessels involved in maintenance activities (UMS – Maintenance And Safety Units) were also halted. The company would only be paying for fuel for minimal maintenance of these UMS, in addition to maintaining a preservation team. These vessels have teams from mechanical, electrical, parts and equipment maintenance, hospitality, cargo handling, boiler-making, and industrial painting.
The state-owned company’s decision raises concerns, and people in the sector define it as “radical.” Although those involved support measures to combat the pandemic, especially in the offshore environment, interviewees by Petronotícias say this is not the best course of action.
They argue that such a decision should be adjusted according to safety protocols and contradicts the guidelines not to affect productive activities with radical measures, without a planning of reconciliation with the criteria required by health authorities. There is also fear regarding the country’s economy and producer municipalities, such as Macaé (RJ), in the northern fluminense region.
