LNG Threat Returns as Australia Workers Discuss Resuming Strikes


Union members at Chevron Corp. liquefied natural gas facilities in Australia are deciding on a plan to resume strikes after criticizing the company’s efforts to finalize an agreement on pay and conditions.

Workers accuse Chevron of reneging on commitments made last month to end a dispute that roiled global markets, and will hold talks on next steps from 3:30 p.m. Perth time, according to the Offshore Alliance, a group representing two unions.

A meeting of some workers late Thursday endorsed plans to resume stoppages, according to a union official, who requested anonymity because the talks were private. If Friday’s discussions follow suit, unions will on Monday give Chevron the required seven working days notice to begin industrial action.

Chevron has “consistently and meaningfully engaged in an effort” to formalize an agreement, the company said Thursday.

Stoppages and walkouts at Chevron’s Gorgon and Wheatstone facilities — which accounted for about 7% of global LNG supply last year — started on Sept. 8, capping weeks of threats to exports which triggered a series of spikes in gas prices in Europe and Asia.

Both sides later last month agreed to accept a proposed settlement put forward by the Fair Work Commission, Australia’s labor regulator, which included suggested improvements to allowances for remote work and travel delays.

Source: Bloomberg


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