Union plans total strike from Sept 14 if talks fail
Brief work stoppages to begin Thursday
Union escalation could support gas pricesING
SYDNEY, Sept 5 Reuters Workers at Chevron39;s Gorgon and Wheatstone liquefied natural gas LNG projects in Australia plan a total strike for two weeks from Sept. 14, a union alliance said on Tuesday, a significant escalation on disputes over pay and conditions.
The decision comes amid mediation talks hosted by the Fair Work Commission FWC, Australia39;s industrial arbitrator, which began on Monday and is scheduled to run every day this week, and ahead of brief work stoppages called by the union from Thursday.
The Offshore Alliance is escalating protected industrial action to demonstrate that our bargaining negotiations are far from 39;intractable39;, the union alliance said in a Facebook post.
Chevron did not immediately respond to a request for comment.
Australia is the world39;s biggest LNG exporter and the ongoing dispute has stoked volatility in natural gas markets, as traders worry about the risk of longterm disruption.
Prolonged industrial action could disrupt LNG exports and likely increase competition for the superchilled fuel, forcing Asian buyers to outbid European buyers to attract LNG cargo.
The latest move by the union could be a sign that the mediation talks were not progressing well, ING said in a research note.
This is likely to provide some support to gas prices today and comes at a time when there is ongoing…