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Norway oil strike ends after wage agreement

Published 09/10/2020, 18:22
Updated 09/10/2020, 18:25
© Reuters. FILE PHOTO: A general view of the Equinor's Johan Sverdrup oilfield platforms in the North Sea
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By Nerijus Adomaitis

OSLO (Reuters) - Norwegian oil firms struck a wage bargain with labour union officials on Friday, ending a strike that had threatened to cut the country's oil and gas output by close to 25% next week, negotiators for each side told Reuters.

Brent oil prices fell by more than 1% on the news to $42.74.

Six offshore fields shut on Monday and a further seven had been scheduled to follow in the coming days, with the oil and gas outage set to grow to 966,000 barrels of oil equivalent (boed) by Oct. 14, the industry had said.

"We have a deal, there will be no (more) strike (action)," negotiator Jan Hodneland of the Norwegian Oil and Gas Association (NOG) said after the talks ended.

The Lederne trade union confirmed the news.

"The strike is over," union chief Audun Ingvartsen said.

Oil firms and union officials met on Friday with a state-appointed mediator to try to end the 10-day strike in western Europe's biggest oil and gas producing nation.

It was not immediately clear what the agreement contained.

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

Friday's meeting was the first with the state mediator since the strike was announced on Sept. 30, although informal talks had been taking place.

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