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Inpex Ichthys Workers Begin Protected Industrial Action

The stoppages seek to pressure Inpex over pay, threatening tighter LNG supply to buyers such as Japan.

Overview

  • The Offshore Alliance started protected industrial action across all three Ichthys facilities, beginning with daily four-hour stoppages from 6–8 a.m. and 6–8 p.m.; the union says further notices cover planned action for June 11–23.
  • Union negotiators, who have been talking with Tokyo-based Inpex for more than a year, are seeking better conditions and 3 percent annual pay rises for Ichthys workers.
  • The Offshore Alliance said talks showed 'significant progress' but that Inpex had 'fallen short on a number of fundamental claims' and warned it will escalate action until its demands are met.
  • Ichthys can export about 9.3 million tonnes a year, roughly 2 percent of global LNG output, so repeated stoppages risk tightening already strained gas supply for major buyers, notably Japan.
  • Industry group AREEA has publicly said the union demand would raise labour costs by 50–60 percent and lift average pay at Inpex above reported figures, a claim the union contests and which industry watchers say could affect contract costs and export schedules.