Qatar Petroleum is set to announce a restructuring plan in the next few months in a bid to adapt to the change in oil price.
According to the head of its international subsidiary, Qatar Petroleum International, the change is being made at the “right time” for the company.
Chief executive Nasser Khalil Al-Jaidah said oil prices provided a motivation to help make the institution “more capable” of facing challenges in the next few years.
Earlier this year, Qatar Petroleum said it would absorb Qatar Petroleum International into its structure, a move suggesting authorities want to consolidate the industry after the price drop.
Earlier this year, QP said it would absorb QPI into its structure, a move suggesting authorities want to consolidate the industry after the price drop.
Al-Jaidah said demand for OPEC oil is likely to improve, as prices below $100 will hinder the growth of shale oil.
"The coming period will witness an improvement in prices but they will not reach $100," he said.
On Friday, U.S. crude settled down 19 cents at $59.69 a barrel, after falling more than $1 during the session. Brent , the more important oil benchmark, settled up 11 cents at $66.81, down from more than $115 in June last year.
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Al-Jaidah said QPI's international projects were currently being evaluated in terms of geopolitics, prices and "current challenges", giving no further details.
QPI was formed in 2007 as the foreign investment arm of the firm. Over the last few years, it has created 10 joint ventures in the United States, Britain, Italy, Singapore, Egypt and elsewhere, though it has not disclosed a figure for its total assets.
One of the South Indian dailies reported yesterday that almost 1700 have already been given notice of termination and more than 50% of this is from South India. It also expressed the fear that the layoffs have not yet started in the administration department where majority of the workers are from the South Indian states.
