OIL giant BP has confirmed plans to shed about 600 jobs from its North Sea operations over the next two years.
The firm has taken the decision in light of "toughening conditions" in the industry.
The majority of the posts are expected to be lost this year, with the rest to go next year, a spokesman said.
The move, which will affect both staff and agency contractors, will take the number of people working for the business in the North Sea from around 3,000 to roughly 2,400.
The move comes a day after oil firm Petrofac announced up to 160 UK jobs could go under a restructuring plan.
Mark Thomas, regional president for BP North Sea, said: "We are committed to the North Sea and see a long-term future for our business here.
"For example, in 2016, we are continuing to invest around $2bn of capital into North Sea projects and a further $2bn in running our North Sea operations.
"This will sustain many hundreds of jobs both in BP North Sea and our supply chain going forward.
"However, in toughening market conditions and given the well-documented challenges of operating in this maturing region, we need to take specific steps to ensure our business remains competitive and robust.
"An inevitable outcome of this will be an impact on headcount and we expect a reduction of around 600 staff and agency contractor roles by the end of 2017, with the majority of these taking place this year.
"We are speaking to our staff and agency contractor management and will work with those affected over the coming months."
Earlier this month, an industry body said UK oil and gas production surpassed expectations in 2015 but warned that redundancies were on the horizon due to continuing low oil prices.
Oil & Gas UK said production rose by around 7 per cent-8 per cent last year, defying projections that there would only be a marginal increase in 2015.
But it said times remain tough for the industry and its workers, with more job losses expected in the next few months.
BP's announcement comes just days after oil plummeted to its lowest price in 11 years amid mounting tensions in the Middle East.
Speaking following the BP announcement, Deirdre Michie, chief executive of Oil & Gas UK, said: "The plummeting oil price has impacted heavily on activity across the UK Continental Shelf.
"As a sector, we will have to build resilience against the toughening market conditions to get us through the months ahead and ensure an enduring industry for the future.
"While Oil & Gas UK cannot comment on the commercial decisions made by its members, companies are having to take very difficult decisions in what continues to be a challenging time and we as an industry must be thoughtful and supportive of our colleagues who are being made redundant or facing uncertainty.
"Industry is working hard to ensure the sector continues to remain safe, efficient and competitive so that it can continue to support jobs, energy security and exports in the long-term."
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