Shell Defers Prelude LNG Turnaround Due to Industrial Action
08.08.2022 By Ella Keskin - NEWS

August 8, 2022 [Reuters] – Shell Plc said on Monday it is deferring planned maintenance work at the Prelude floating liquefied natural gas (FLNG) facility that was due to go ahead in September because of industrial action at the site off northwest Australia.

 

“As a result of the ongoing Protected Industrial Action and inability to complete preparation work, we are not able to proceed with the planned turnaround at this time,” a Shell spokesperson said in emailed comments.

She said the extensive maintenance work, called a turnaround, would be put off to next year, with the timing to depend on a range of factors including weather conditions, contractor availability and when the industrial action ends.

Shell shut the 3.6-million-tonne-a-year Prelude facility in July and told customers it would be unable to supply LNG cargoes for the duration of protected industrial action – work stoppages approved by Australia’s Fair Work Commission – over a long-running pay dispute.

The Offshore Alliance most recently extended its work stoppages to Aug. 11, fighting to match an April wage deal reached with Inpex Corp (1605.T) at its Ichthys LNG operation.

Shell asked the Fair Work Commission to stop the industrial action and impose a “cooling off period”, which would have allowed it to go ahead with preparations for a turnaround, but the commission rejected the request.

The Offshore Alliance said on Monday it remained willing to enter mediation with Shell. A spokesperson for the Fair Work Commission was not immediately available for comment.

Reporting by Sonali Paul


Pro Trial: Access 11,340 Tank Terminal and Production Facilities

11,340 tank storage and production facilities as per the date of this article. Click on the button and register to get instant access to actionable tank storage industry data

TurkStream Gas Pipeline Says Netherlands Withdraws Licence, To Continue Gas Exports
09.30.2022 - NEWS
September 30, 2022 [Reuters] – The Russian-owned operator of the TurkStream gas pipeline said o... Read More
Canada's Enbridge Buys U.S. Green Power Firm Tri Global
09.30.2022 - NEWS
September 30, 2022 [Reuters] – Canadian energy infrastructure firm Enbridge Inc (ENB.TO) on T... Read More
Foreign Tanker Enters Puerto Rican Port After U.S. Waives Shipping Rule
09.30.2022 - NEWS
September 30, 2022 [Reuters] –  A cargo of diesel fuel initially barred from hurricane hit Pue... Read More
LNG Markets May Tighten Further In 2023, IEA's Birol Says
09.30.2022 - NEWS
September 30, 2022 [Reuters] – LNG markets in 2023 may be tighter than this year as demand may ... Read More