Chevron accepts FWC’s offer to end LNG strike

Chevron has accepted the recommendations made by Australia’s Fair Work Commission to end an ongoing dispute with unions representing its workers on the Gorgon and Wheatstone LNG export terminals in Western Australia.

Australia’s workplace tribunal FWC provided the recommendation to Chevron Australia on Thursday.

Chevron has accepted the recommendation to resolve all outstanding issues and finalize the enteprise agreements, a Chevron Australia spokesperson told LNG Prime.

“We have informed the Commissioner of our position and written to the unions and other employee bargaining representatives confirming our acceptance,” the spokesperson said.

The strikes will end if the Offshore Alliance, which includes the Maritime Union of Australia and Australian Workers’ Union, accepts FWC’s recommendation.

Also, if the unions decline the offer, FWC will hold a meeting on Friday as Chevron previously applied for intractable bargaining declarations for the Gorgon and Wheatstone downstream facilities and the Wheatstone platform with Australia’s workplace tribunal.

PIA started on September 8

Earlier this week, Chevron’s unit in Australia and unions have failed to reach a deal and end the strike actions.

Workers at Chevron’s Gorgon and Wheatstone LNG plants and the Wheatstone platform have started protected industrial action on September 8 after talks between the energy giant and unions ended without an agreement.

Moreover, the Offshore Alliance, which includes the Maritime Union of Australia and Australian Workers’ Union, provided Chevron with a notice that work bans may apply for up to 24 hours a day from September 14.

The Offshore Alliance said last Friday that PIA has escalated on the Chevron facilities and would continue to escalate over the coming days and weeks.

The Gorgon LNG plant on Barrow Island has three trains and a production capacity of some 15.5 mtpa, while the Wheatstone LNG plant near Onslow has a capacity of about 8.9 mtpa.

These two projects have a combined capacity of about 25.4 mtpa.

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