Aug. 16–Hydraulic fracturing services company FTS International is shuttering its Shreveport office and will lay off nearly 200 people, the firm told state employment regulators.
The Fort Worth-based company said it closed the office on August 8 after unexpectedly losing a “significant” amount of work from a major customer in the region, which it was unable to replace. The closure will leave 192 people without jobs, according to a WARN notice sent to the Louisiana Workforce Commission.
The company’s Shreveport office serviced the Haynesville Shale play, according to its website, which has seen lower levels of drilling activity in recent years since its peak several years ago.
The office closure will be permanent and impact “almost all employees” at the site, the company wrote. The location is at 7248 John Petterway, Jr. Blvd. in Shreveport.
FTS International went public on the New York Stock Exchange earlier this year. The company provides well completion services in most major U.S. basins, and posted $103 million in net income in the second quarter. It has locations in Oklahoma, Pennsylvania and Texas.
The company did not return messages seeking comment.
The Shreveport closure came as the company was facing headwinds, largely because of softened demand for its services, though the firm expects business to pick up later this year and in early 2019.
Since 2017, natural gas production activity has picked up in north Louisiana, which includes the Haynesville play, according to figures from the Department of Natural Resources.
“It’s bounced back some,” said Patrick Courreges, communications director for DNR. “But it’s never really come back to what folks were hoping it would.”
Still, the formation continues to attract drillers because it is well understood and spans a large geographic area, he said.
Success! An email has been sent with a link to confirm list signup.
Error! There was an error processing your request.
Baton Rouge Breaking News
Stay in the know about Baton Rouge’s biggest news headlines. Sign up today for our newsletter!
(c)2018 The Advocate, Baton Rouge, La.
Visit The Advocate, Baton Rouge, La. at www.theadvocate.com
Distributed by Tribune Content Agency, LLC.