Citing volatility in oil prices, Enable Midstream Partners LP announced plans to shed approximately 10 percent of its workforce this year. The companywide reduction will coincide with realignment plans, according to a Feb. 16 announcement.
Enable announced the reductions will follow an extensive analysis and realignment of its organizational structure. The company said that it is nearing completion of the realignment and that it will be consolidating certain corporate functions to Oklahoma City and Houston to reduce costs and improve efficiency. It expects to announce those changes in the near future.
“Volatility in the commodity markets is taking a toll on our customers and driving our need to respond to what will undoubtedly be one of the most financially demanding years we’ve seen in the energy sector,” said Enable Midstream president and CEO Lynn Bourdon. “We find ourselves in a challenging market, forced to make some very difficult decisions.”
Bourdon added that announcing the workforce cuts came after considering how the company could best meet long-term financial objectives amid a changing market. He applauded the Enable Midstream workforce and said the company would try to ease the transition for affected employees.
“This was a terribly painful decision for us,” he said. “We are very proud of the work our employees have done and what they’ve accomplished in our short time as a standalone company. We especially appreciate the hard work and dedication of those Enable employees who will be affected by this decision. We recognize that this will be very disruptive and will work tirelessly to make the transition for those affected as smooth as we can.”
Enable Midstream owns, operates and develops natural gas and crude oil infrastructure assets, including approximately 11,000 miles of gathering pipelines, 12 major processing plants with approximately 2.1 billion cubic feet per day (Bcf/d) of processing capacity, approximately 7,900 miles of interstate pipelines, approximately 2,300 miles of intrastate pipelines and eight storage facilities comprising 86.5 Bcf of storage capacity.Tags: Enable Midstream, oil prices, workforce reductions