(MENAFN) The world's biggest miner BHP Billiton said it was cutting back its operating US shale oil rigs by 40 percent amid falling prices, but expects a higher production output, AFP reported.
BHP said it would reduce the number of rigs from 26 to 16 by the end of June in response to weaker oil prices. Shale volumes were still forecast to grow by around 50 percent for the fiscal year.
The Anglo-Australian miner booked losses of USD250 million for the sale of petroleum and gas assets in the US, and up to USD350 million in after-tax losses for Nickel West in western Australia.
"In petroleum, we have moved quickly in response to lower prices and will reduce the number of rigs we operate in our onshore US business by about 40 percent by the end of this financial year," chief executive said.
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