While Weir Group chief executive Keith Cochrane's focus on growing into the North American shale market has proved lucrative for the company in recent years low oil prices are leading to some pretty sharp tasting medicine being taken.

Cost reduction measures were put in place towards the end of last year as crude prices began to fall but 650 further job cuts, more than one fifth of the North American oil and gas workforce, is a bigger downsizing than the group has undertaken in recent memory.

Worryingly for Mr Cochrane the strong performance in Weir's oil and gas business had helped offset weaker showings in the minerals and the industrial and power arms in recent years.

As yet neither of those market sectors are showing any strong signs of recovery.

Stock market analysts were surprised by the downbeat assessment Weir provided on its prospects but Mr Cochrane and finance director Jon Stanton were keen to point out they had taken defensive action quickly as they are preparing for at least two years of low oil prices.

And they highlighted that the depressed operating environment may throw up some opportunistic acquisition opportunities for Weir.

On the other hand if Weir's share price continues to tumble and performance deteriorates it could also come into play as an attractive target for larger players.

The coming months look likely to be full of tests for Mr Cochrane and his team.