Calfrac Well Services cuts deepen to 70% in Canada, U.S. due to low oil prices
Posted Apr 28, 2020 06:09:59 PM.
CALGARY — Calfrac Well Services Ltd. says it has now cut 70 per cent of its North American staff as demand for its hydraulic fracturing and other well completion services continues to fall in view of low oil prices.
In late March, the Calgary-based company said it would reduce the number of crews being deployed in its North American operations from 19 to nine, resulting in a 40 per cent downsizing of its workforce in the U.S. and Canada.
It now says it has cut the number of crews to five.
In a March regulatory filing, Calfrac said it had 3,300 employees in its operating regions which include Canada, the U.S., Argentina and Russia as of Dec. 31.
It says its Argentina operations are significantly impacted by a COVID-19 pandemic related lockdown order and its Russian operations are being hit by warmer weather which prevents the use of ice bridges in its main operating area.
Calfrac says it will postpone its first-quarter financial report, normally published before May 15, until no later than June 25.
This report by The Canadian Press was first published April 2, 2020.
Companies in this story: (TSX:CFW)
The Canadian Press