By OGJ editors
HOUSTON, May 7 -- Conoco Inc. and Phillips Petroleum Co. have determined the locations of most major staff and support functions for the newly formed ConocoPhillips. As a result, the combined firm expects to lay off workers in its offices in Houston, Tempe, Ariz., and Ponca City, Okla. Employees will be spared in Phillips's Bartlesville, Okla, headquarters, however.
The companies would not speculate as to how extensive the staff cuts would be.
The following changes will take place once the merger is finalized, which is expected during the second half of this year after receiving Federal Trade Commission approval.
The company's headquarters will be in Houston, as reported when the merger was announced late last year (OGJ, Nov. 26, 2001, p. 26). Houston-based operations will include worldwide upstream, including Lower 48 headquarters and upstream technology. Downstream refining and wholesale marketing, marine, and the carbon, lubes, and specialties businesses also will be based in Houston, as will the company's commercial center, which will include crude oil supply and trading, refined products, natural gas liquids, and natural gas and power.
Phillips's Bartlesville headquarters will become home to the firm's global information technology center, global financial services, and human resources support teams. In addition, research and development activities currently performed in Bartlesville will remain there. Chevron Phillips Chemical Co. also plans to retain the current technology activities performed in Bartlesville, the company said.
ConocoPhillips will retain certain existing functions in Ponca City, including the operation of its Ponca City refinery as well as research and development activities. These activities include the development of the firm's carbon fibers and gas-to-liquids businesses.
ConocoPhillips will call Tempe home to its retail marketing organization and associated support services. There will be a transition period for the commercial group to consolidate activities in Houston, the company said. Presently, Tempe serves as the site of Phillips's wholesale and retail marketing organizations and its commercial group.
