| ConocoPhillips (COP) Reduces Headcount in Canada by 7% - Analyst Blog | |
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Houston-based energy major ConocoPhillips COP became the latest among a string of oil companies to lay off staff in an attempt to counter the tumbling oil prices. The American oil firm cut the number of its Canadian personnel by 7% or about 200 employees. Recently, ConocoPhillips’ annual capital expenditures for 2015 have been reduced to about $11.5 billion from $16 billion planned earlier. The falling oil price, which has witnessed a 60% slide since Jun 2014, has compelled energy companies to rely on job cuts. This is expected to help them reduce their capex and adjust to lower cash flows. The plummeting oil price has forced several oil majors to idle rigs and scrap projects. The development of oil sands in Alberta, the world’s third-largest proven reserves, has become stagnant with producers cutting thousands of jobs to cope with the falling oil prices. ConocoPhillips’ headcount reduction follows job cuts by other oil and gas companies. While Talisman Energy Inc. TLM is eradicating 150–200 positions from its Calgary head office, CNOOC Limited’s Nexen Energy is laying off 300 of its Canadian workforce. In February, Canadian jobs reduced by 16,900 in the natural resource sector. Alberta, which yields the majority of Canada’s oil output, saw a reduction in employment of about 14,000. This marks the Canadian province’s highest jobless rate since 2011 – an increase of 0.8 percentage points to 5.3%. However, on a brighter note such a recession is helpful in the eradication of inefficient players and the retention of the strong ones. The difficult economic situation has forced ConocoPhillips to take decisions, which are likely to prove beneficial going forward. The steps undertaken are expected to position the company for long-term success in any price environment in the future. ConocoPhillips currently carries a Zacks Rank #3 (Hold). Better-ranked stocks from the oil and gas sector include Valero Energy Partners L.P. VLP and Hallador Energy Company HNRG. Each of these stocks sports a Zacks Rank #1 (Strong Buy). Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CONOCOPHILLIPS (COP): Free Stock Analysis Report TALISMAN ENERGY (TLM): Free Stock Analysis Report HALLADOR ENERGY (HNRG): Free Stock Analysis Report VALERO EGY PTNR (VLP): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research
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ConocoPhillips
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CODE : COP |
ISIN : US20825C1045 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
ConocoPhillips is a producing company based in United states of america. ConocoPhillips is listed in Germany and in United States of America. Its market capitalisation is US$ 152.4 billions as of today (€ 143.2 billions). Its stock quote reached its lowest recent point on December 31, 1991 at US$ 10.94, and its highest recent level on April 19, 2024 at US$ 129.48. ConocoPhillips has 1 177 107 000 shares outstanding. |