Liquified natural gas prices surged by as much as 11% after liquified natural gas workers at Chevron Corp. sites in Australia began partial strikes on Thursday. The workers took this decision after the breakdown of weeks of negotiations between Woodside Energy Group Ltd., the owner of the facilities, and members of the Offshore Alliance union.
Partial strikes began at the Gorgon and Wheatstone facilities, which accounted for 7% of the world’s LNG supply last year. Friday’s strike action appeared to be low-level actions aimed at creating inefficiencies in Chevron’s production chain, Saul Kavonic, an energy analyst at Credit Suisse Group AG observed.
Offshore Alliance took to Facebook to criticize Chevron, claiming that the company’s “bargaining performance has been the most inept effort of any employer the union has dealt with in the past five years and our members have had enough.”