Dutch offshore service provider, Heerema, has announced the closure of two joint ventures in Angola amid the ongoing recession in the offshore sector.

According to the company, the ongoing poor market conditions and sustained low oil price made its Angola joint ventures no longer economically viable, and it has concluded that the closure of Heerema Porto Amboim (HPA) and Heerema Marine, Sociedade Angolana de Transportes (HMT), is the appropriate option.

The Heerema shares in HPA have been sold to its joint venture partner, while HMT is being liquidated.

“The decision to cease operations in Angola is a difficult one and comes in response to long-term challenges and a limited outlook for work in the future.

We deeply regret the job losses that will result from this decision and will support our people through the transition,” the company said in a release while announcing the closure.

The company’s subsidiary, Heerema Marine Contractors, will, however, continue to operate from their branch in Angola, providing heavy lift installation services for the offshore energy markets.