The strike by the Australian Workers’ Union and the Electrical Trades Union at Shell Australia’s Prelude floating LNG vessel in Browse basin offshore Western Australia has ended with the parties reaching agreement over a wage deal.
The industrial action which lasted 76 days and resulted in missed LNG cargos worth about $1.5 billion (Aus.), has been resolved with a new ‘in principle’ enterprise bargaining agreement (OGJ Online, July 14, 2022).
“The process to formally lift the work bans in place under the Protected Industrial Actions is expected to be completed shortly, which will enable the (Prelude) [vessel] to commence the process to prepare for a hydrocarbon restart,” Shell said.
Mediation by the Fair Work Commission concluded earlier this week with an agreement that includes a job security clause that Shell cannot reduce the number of employees operating the vessel by employing contractors.
Shell will work to return Prelude FLNG to safe and stable production, although no date has been set for bringing the field back on stream.
