Chevron gives notice of upcoming layoffs of PDC Energy employees
After completing its $7.6 billion purchase of PDC Energy, Chevron Corp. expects to terminate at least one-third of the positions at PDC’s offices in Denver and Evans, but the company said people can apply for open jobs at the merged company.
As required by state law, Chevron notified the Colorado Department of Labor and Employment of the impending layoffs Aug. 25. Chevron said it told employees about the layoffs during town halls last week.
Chevron has more than 500 open positions that PDC Energy employees can apply for, said Kim McHugh, vice president of the company’s Rockies business unit.
PDC has about 600 workers. Chevron’s notice to the state said the maximum number of layoffs would be 199, but that most would be offered jobs.
“The PDC Energy employees are critical to our success as we continue to operate in the DJ Basin. Both companies have very comparable cultures that focus on safe and reliable operations, and benefiting the communities where we operate.” McHugh said in a statement.
Chevron said the terminations will start Oct. 31 and are part of the company’s restructuring following its purchase of PDC Energy. Employees who aren’t selected for one of the openings will be laid off.
In the acquisition of PDC, Chevron acquired 275,000 net acres, much of it next to its existing operations in northeast Colorado’s Denver-Julesburg Basin, and more than 1 billion barrels of oil equivalent in proven reserves. The company also added 25,000 acres to its operations in the Permian Basin of West Texas and southeastern New Mexico.
Chevron’s daily production in the Denver-Julesburg Basin will be roughly 400,000 barrels of oil equivalent and its total acreage is a little more than 600,000 acres,
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