Chevron Australian LNG plant back to full production
ADELAIDE
A Chevron Corp. liquefied natural gas plant in Australia had resumed full production after a fault cut output by one-fifth for three days amid strike action, the U.S. energy giant said yesterday.
A turbine tripped at the Wheatstone LNG plant in Western Australia state ast week as around 500 unionized Chevron staff escalated strike action over pay and conditions.
Wheatstone and Chevron’s Gorgon plant, both in the state’s Pilbara region, account for between 5 percent and 7 percent of global LNG supply.
Chevron said full production did not resume at Wheatstone until night on Sept. 17 .
“During this time, LNG continued to be produced at approximately 80 percent of usual rates and vessel loading continued,” a Chevron statement said.
“There has been no change to scheduled LNG deliveries,” Chevron added.
Wheatstone produces 8.9 million metric tons of LNG a year.
About 500 Chevron employees who are members of the Offshore Alliance, a partnership between the Australian Workers’ Union and the Maritime Union of Australia that represents workers in Australia’s offshore oil and gas industry, stopped work for a second consecutive day on Sept. 17 and warned of further disruptions to come.
The union argues that less experienced non-union labor that is filling in for striking union members would lead to a reduction in LNG output and cost Chevron more than the higher wages and improved conditions that are demanded.
The union blamed incompetence of non-union labor for a four-hour delay in LNG being shipped from Wheatstone on Sept. 15.
