Workers at two Chevron-operated LNG projects have stepped up a strike that began earlier this week and are planning further escalations in the coming weeks.
While the unions representing the workers have not specified how many hours per day workers at Gorgon and Wheatstone would strike, Chevron said it had been notified of rolling 24-hour walkouts starting early this morning, Bloomberg reports.
The report notes that the industrial action has not yet affected LNG exports from Australia. However, the longer it continues, the greater the chance of disruptions to shipments. The situation is unlikely to change for the better until at least Sept. 22, when an industrial relations board is scheduled to hear the dispute after Chevron approached it in an effort to force the workers to settle.
The supermajor is seeking a declaration of “intractable bargaining” from the Fair Work Commission. This means the FWC could force the workers to agree to terms proposed by Chevron.
The strikes may not have had an impact on production yet, but according to ICIS analyst Tom Marzec-Manser, if the strike lasted for two weeks, it would cut 1 million tons of LNG from global supply.