Oilfield services provider Basic Energy Services 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 and Select Energy Services Inc.
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)
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