EOG Resources will close its Tyler office, company officials confirm. The oil and gas company - one of the world’s largest - has been hit hard by low oil prices in recent years.
“EOG is combining the Tyler and Fort Worth operations into one division, which will be located in Fort Worth,” said spokeswoman Kimberly Ehmer.
EOG employs 66 people in the Tyler office, which Ehmer said will close. She said the company expects some, but not all, employees will be relocated to other EOG offices.
The process should be completed by the end of the year, she added.
EOG was founded in 1999, when it broke away from Enron Corp. In 2013, it became the largest oil producer in the onshore lower 48 states, with 300,000 barrels of oil per day.
According to the Associated Press, the Houston-based company reported a nearly $200 million loss, 35 cents per share, from July to September. However, in the same period of 2015, the company recorded a $4.1 billion - $7.47 per share - loss.
Tom Mullins, president and CEO of the Tyler Economic Development Council, said the company is weathering some tough times.
“We are disappointed to lose these high-paying, professional EOG jobs,” he said. “This company has been very active in our community and has made a positive contribution to Tyler and the region. We understand the energy sector is still dealing with challenging market forces and, according to industry experts, it may be another 12 to 18 months before we see conditions improve.”
In the company’s most recent investors’ reports, the firm said “lower crude oil and natural gas prices more than offset significant well productivity improvements and lease and well cost reductions, resulting in decreases” in income.