More than 120 workers at Encino Energy in Houston will be laid off this August.
The layoffs follow the $5.6 billion sale of Encino to EOG Resources. The sale was announced at the end of May.
A WARN notice filed with the Texas Workforce Commission confirms that 121 workers will lose their jobs on August 17.
Neither Encino nor EOG has responded to media requests for comment.
Encino is based in Houston but drills primarily in the Utica Shale region. It describes itself as “the largest oil producer in Ohio and one of the largest natural gas producers in the state.”
Details of which roles will be affected were not shared.
This layoff is part of a broader industry trend. Several shale-focused companies are cutting costs and consolidating operations.
Recent examples include Chevron and BP.
Chevron plans to cut 20% of its global workforce by the end of 2026. Nearly 200 of those job losses are expected in the Permian Basin this July.
In March, BP announced it would cut 8,000 jobs worldwide. Over 1,000 U.S.-based roles are being moved abroad.
U.S. oil production is expected to fall in 2025. Analysts blame falling demand and prices.
However, power demand is rising due to data centers and high summer temperatures. Some expect this to support natural gas prices.
EOG said it hopes to close the Encino deal by the end of the year.
Full article links:
https://www.msn.com/en-us/money/companies/more-than-120-houston-layoffs-expected-from-encino-energy-after-eog-resources-sale/ar-AA1H7HNR?ocid=finance-verthp-feeds
https://www.houstonchronicle.com/business/energy/article/encino-energy-eog-sale-houston-layoffs-20386641.php