Chevron and unions agree to end Western Australia LNG strike. Gas/LNG prices in Asia and Europe are expected to decline

Chevron’s Wheatstone Project in Western Australia. Source: Chevron, 2023.

Both the Unions and Chevron agreed to an Australian regulator’s brokered deal. This news is expected to lower gas/LNG prices in Asia and Europe. It remains to be seen if some Asian companies will cancel LNG orders they made in recent days for fear that the strike might last for a few months. Such cancelation will force gas prices even lower.

Here are links to news items on the deal:

Chevron and unions agree to end Western Australia gas strikes

Australia union calls off strike at Chevron LNG facilities

We covered the impact of the strike in several reports in the past month. Here is a link to a report we published on August 17 on the impact of the strike with some detailed information on the Australian LNG industry.

Strike Threat in Australia Could Cut Global LNG Supply by 10%