Harbour Energy is to axe 350 onshore UK jobs even though cash from its North Sea operations has surged to near-record levels.
A review of its UK organisation would complete in the second half of 2023, said the oil and gas group.
This was likely to result in the loss of 350 jobs, saving it US$50mln a year from 2024 at a one-off cost of US$15mln.
Harbour made the prediction ahead of its annual meeting, where it also revealed cash flow in the first quarter had hit US$0.7bn from the production of 202,000 barrels daily on average at an operating cost of US$15 per barrel.
As a result, debt had fallen from US$800mln at end December to US$200mln currently, with liquidity currently at US$3.1bn.
At the end of 2022, Harbour said that the impact of the energy profit levy or windfall tax had wiped out profits after it took a deferred one-off tax charge of US$1.5bn for future payments.
Shares in the group currently sit close to a five-year low and were down a further 0.5% today at 242p.