EMGS to Cut Global Employee Expenses

Electromagnetic Geoservices ASA (EMGS) announces a reduction in the Company's cost base in line with a reduced level of activity.

The Company will seek a global reduction in employee expenses of approximately 20% by using both temporary and permanent layoffs amongst others. The cost reduction measure will yield effects gradually as headcount reductions onshore and offshore are scheduled to follow a different timeline.

"The market is expected to continue to be subdued until the oil price recovers and customers increase their E&P budgets. Cost reductions and cost control will therefore continue to be important focus areas in the Company. However, we will maintain a footprint in our core markets to be able to efficiently market our services and be ready when the market turns," says Christiaan Vermeijden, CEO of EMGS.