ROYAL Dutch Shell is axing another 90 jobs in Aberdeen as the oil and gas giant continues its retreat from the North Sea in response to the crude price plunge.

The Anglo Dutch company told staff in Aberdeen that it planned to cut 90 onshore positions in a cost-saving programme it expects to complete this year.

The head of the North Sea business Steve Phimister said the cuts were intended to help the firm to become the most competitive and resilient oil and gas business in the UK Continental Shelf.

He added: “We are committed to the UK North Sea and see considerable future value and opportunity; we remain a significant employer, and aim to continue to invest significantly in the North Sea in the coming years.”

However, the cuts continue a process which has resulted in a dramatic shake up of Shell’s North Sea operations since the crude price started tumbling in 2014.

Shell has cut around 1,000 North Sea jobs since 2014 under plans intended to squeeze significant costs out of the business. In November the company said it would close its accounts centre in Glasgow, putting nearly 400 posts at risk.

Shell employs around 1700 people in the North Sea but that number is set to fall by around a quarter in coming months as the company moves to focus investment on a smaller number of plum fields.

In January Shell agreed to sell a big portfolio of mature North Sea assets to Chrysaor for up to around £3bn. These accounted for around half its production in the area at the time.

Shell acquired mature North Sea assets through the £47bn takeover of BG last year.

When the Chrysaor deal was announced Shell said around 400 employees were expected to transfer to the new owner following completion, scheduled for later this year. That number has fallen to 319.

Shell retains interests in the Schiehallion and Clair Ridge projects West of Shetland, which it has been developing with BP.

Shell’s new chief financial officer Jessica Uhl noted last month that these belong to a group of giant new developments that will help Shell boost returns in future.

As BP operates the fields Shell does not require as many people to support work on the assets as the company would if it was the lead player.

Asked if Shell could sell off more North Sea assets or reduce head count further, Ms Uhl told reporters then: “We continue to have many assets in the North Sea and in the near term there’s nothing actively being worked.”

It is understood the latest job losses will affect equal numbers of employees and contractors.

No offshore posts are affected.