Maersk Supply Service is preparing to decrease its overseas vessel fleet by as much as 20 vessels as well as axe 400 tasks over the following 18 months, the AP Moller-Maersk Group subsidiary disclosed today.

The business claims the deep cuts come as component of a divestment strategy in reaction to vessels in lay-up, restricted trading possibilities, as well as the international over-supply of overseas supply ships, all the outcome of the extended recession in the overseas oil as well as gas market.

“One of Maersk Supply Service’s prime objectives is to attempt to restore the supply demand balance in the offshore supply market. This is why the vast majority of the divested vessels will be recycled or modified by their new owners to compete outside their present segments,” claimed chief executive officer of Maersk Supply Service, Jørn Madsen.

“We are facing unprecedented market conditions, and regrettably we have to further adjust our crew pool. It is an unfortunate, but necessary step to safeguard the future of our company,” he included.

As an outcome of the cuts, the business claimed around 400 staff participants will certainly be made repetitive. The redundancies are anticipated to be finished by the end of September, while the very first vessels are anticipated to leave the fleet by the end of the year.