SHELL E&P Ireland has announced that due to ‘challenging’ market conditions globally, ten jobs will be cut at its Corrib Gas refinery in north west Mayo. Employees were advised of the jobs losses, due to be implemented during 2017, at the Bellanaboy plant on Thursday last.
Speaking afterwards, a spokesman for the global oil and gas company said: “Since December 2015, the Corrib gas development has established itself as an integral element of Ireland’s energy infrastructure. Despite a good first year for operations, market conditions remain challenging with Irish gas prices reflecting lower oil and gas price conditions globally.”
The spokesman confirmed the Corrib gas development ‘will continue to support around 180 jobs through its operations in Ireland’.
“We understand that this is very difficult news for those employees who will be impacted. Over the coming weeks, Shell is committed to ensuring ongoing regular employee engagement and support.”
Coincidentally, a report published earlier in November by Canadian company, Vermillion, which has an 18.5 percent stake in Corrib, showed that its minority stake generated sales of $66.42 million for the first nine months of this year. Reportedly, the Corrib Gas partners are generating sales of more than €1.2 million a day from the gas flowing from the field situated 82 kms off the Co Mayo coastline. The overall recorded estimated revenue since production started at the end of 2015 is $360 million (€335 million).
As lead partner, Shell has a 45 percent stake in the project, while Statoil has a 36.5 percent interest.
IRMS in examinership
MEANWHILE, IRMS (Integrated Risk Management Services), the security company that worked during the construction of the Corrib project, has sought protection from its creditors.
The Sunday Times has reported that Neil Hughes of Baker Tilly Hughes Blake has been appointed interim examiner to Business Mobile Security Services (BMSS), trading as Senaca and Integrated Risk Management Services.
The report states that sources confirmed ‘the company’s finances were hit by the ending of the Corrib project, coupled with large costs to cover redundancy for affected staff’.
Founded in 2005 by Terry Downes and Jim Farrell, two former members of the Irish Army Ranger Wing, the company had a turnover of €28 million in 2012, but this figure dropped to €19 million in 2014.