Hunting PLC to close Dutch site, consolidate UK operations

Published 18/03/2025, 17:04
Hunting PLC to close Dutch site, consolidate UK operations

LONDON - Hunting PLC (LSE: LON:HTG), a global precision engineering company, has announced significant restructuring plans for its EMEA (Europe, Middle East, and Africa) operating segment. The company outlined proposals aimed at reducing costs and streamlining operations, following a detailed review of its medium-term outlook and operating footprint requirements.

The proposals include the closure of the OCTG (Oil Country Tubular Goods) operating site in the Netherlands, with future geothermal activity orders being fulfilled by Hunting’s UK sites. Additionally, the company plans to consolidate OCTG threading and accessories manufacturing at its Fordoun site in Aberdeen, UK.

Hunting also intends to centralize all well intervention manufacturing activities at its Dubai operating site, which is expected to be fully commissioned in the second quarter of 2025. As part of the restructuring, the company will reduce headcount across the EMEA segment, with a focus on rationalizing support functions in the UK.

These proposed changes have initiated workforce consultations in the affected jurisdictions. Hunting estimates that the restructuring will result in annualized cost savings of approximately $10 million, with the goal of returning the EMEA operating segment to profitability by the first quarter of 2026.

Investors can expect further details in the company’s first-quarter 2025 trading update, scheduled for release on Wednesday, April 16, 2025. This announcement is part of Hunting’s ongoing strategy to optimize its operations amid challenges in the European oil and gas drilling sector.

The company’s plans are based on a press release statement and reflect its efforts to adapt to the evolving market conditions, ensuring long-term sustainability and shareholder value.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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