HOUSTON (Reuters) - ConocoPhillips , citing a steep decline in oil and gas prices, said on Friday it will cut 4 percent of its workforce and sees big writedowns on some of its exploration and production assets.
Shares of Conoco fell nearly 3 percent in extended trading.
The third-largest U.S. oil company also set its 2009 capital expenditures at $12.5 billion, a budget the company said was ample enough to fund large development projects but down from a projected $20 billion in spending for 2008.
Conoco said the drop in oil and gas prices will affect its year-end reserves.
On a year over year basis, crude oil prices fell more than 50 percent, while natural gas prices tumbled 25 percent.
(Reporting by Anna Driver in Houston; Editing by Tim Dobbyn)
