🍎 🍕 Less apples, more pizza 🤔 Have you seen Buffett’s portfolio recently?Explore for Free

Norway energy industry in wage bargain, averting oil, gas outages

Published 16/02/2021, 04:33
© Reuters. FILE PHOTO: A general view of the Equinor's Johan Sverdrup oilfield platforms in the North Sea
NG
-

By Terje Solsvik

OSLO (Reuters) - Norway's oil industry employers struck a wage bargain with the Safe labour union on Tuesday, preventing a strike at the Mongstad crude terminal and shutdowns of major offshore oil and gas fields, Safe told Reuters.

The Norwegian Oil and Gas Association, which negotiated on behalf of energy firms, confirmed the agreement.

Operator Equinor had said a strike could reduce Mongstad's storage and harbour capacity and disrupt production at fields responsible for a third of the country's crude output and more than 40% of natural gas exports.

Norway, western Europe's largest oil and gas producer, pumps about 2.1 million barrels per day (bpd) of crude, while gas production amounts to 2 million barrels of oil equivalent per day (boed).

State-controlled Equinor on Friday said a strike could disrupt production at the major Johan Sverdrup and Troll fields, as well from five smaller fields, namely Kvitebjoern, Visund, Byrding, Fram and Valemon.

The fields produced 680,000 bpd of crude and had a gas output corresponding to about 850,000 boed in November, according to data from the Norwegian Petroleum Directorate (NPD).

Although only a dozen workers would have gone on strike initially, they are key to loading vessels and handling the ships' arrivals and departures at the busy Mongstad terminal.

© Reuters. FILE PHOTO: A general view of the Equinor's Johan Sverdrup oilfield platforms in the North Sea

In case of a protracted conflict, a strike could also have spread to other onshore facilities, with as many as 800 oil and gas workers potentially involved, Safe had warned.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.