Basic Energy Services warns of nearly 500 job cuts in Texas following bankruptcy (updated)
30/08/2021 16:17
(Adds comment from filing, adds CEO comment from earlier this
month)
By Liz Hampton
Aug 30 (Reuters) - Oilfield services provider Basic Energy
Services BASXQ.PK is warning employees that nearly 500 jobs
could be eliminated in Texas, according to a filing with the
state's workforce commission, as the company works through
Chapter 11 restructuring that includes asset sales.
The job cuts are focused throughout Texas, with 135
positions eliminated in Howard County in West Texas and 120 in
Tarrant County, where its headquarters are located, according to
the filing.
The Fort Worth, Texas-based company this month filed for
bankruptcy and said it had entered into asset purchase
agreements with rivals Axis Energy Services Holding Inc, Berry
Corporation BRY.O and Select Energy Services Inc WTTR.N .
If those asset sales are not completed, or if the acquiring
company does not offer current Basic employees jobs following
the close of the sales, the positions will be eliminated, Basic
said in the filing.
A representative from the company did not immediately
respond to a request for comment.
In a statement earlier this month, CEO Keith Schilling noted
that the company faced "extraordinary challenges as a result of
the COVID-19 pandemic."
He added, in the earlier statement: “We believe the asset
purchase agreements will enable us to maximize the value of our
businesses and create the best path forward for our customers,
partners, employees and the communities we serve.”
(Reporting by Liz Hampton in Denver
Editing by Mark Potter and Matthew Lewis)
((Liz.Hampton@thomsonreuters.com; +1 832 571 81115; Reuters
Messaging: Reuters Messaging: liz.hampton.reuters@reuters.net))