Hunting Implements Restructuring Plan to Maximize Returns


In a strategic move aimed at maximizing returns and streamlining operations, energy-services group Hunting has announced a significant restructuring plan. The company intends to divest its legacy non-core assets while making operational changes to enhance efficiency and lower costs.

Streamlining Operations: Relocation and Merger

Hunting revealed that its main well testing site will be relocated from the Netherlands to Dubai. This move will lead to the closure of the facility in Velsen-Noord. To better serve its European clients in the oil and gas industry as well as the energy transition sector, activities in the Netherlands will be consolidated into a single location in Velsen-Noord.

Meanwhile, Hunting’s operations in Dubai will also experience a transition. The company plans to move to a larger facility within the United Arab Emirates, allowing for more room to expand and serve its clients more effectively.

Operational Changes: Closure and Relocation

As part of the restructuring plan, Hunting will be closing its operating site in Oklahoma City. Additionally, the manufacture of perforating systems will be relocated from Dubai to Pampa, Texas, and Monterrey, Mexico. These changes aim to optimize the company’s capabilities and improve overall operational efficiency.

Strategic Asset Divestment

Since the beginning of this year, Hunting has successfully divested a majority of its legacy non-core exploration and production assets. Tenkay Resources, a wholly-owned subsidiary of Hunting, has played a crucial role in this process. Through strategic negotiations, Hunting has transferred most of the assets, thereby reducing its potential exposure to future decommissioning costs.

In summary, Hunting’s restructuring plan signifies a commitment to maximizing returns and optimizing operations. With the relocation of its well testing site and operational changes, the company seeks to improve efficiency and better serve its clients in Europe and the United Arab Emirates. By divesting non-core assets and minimizing future liabilities, Hunting strives for long-term success in the dynamic energy industry.

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