North Sea strikes could disrupt UK fuel supplies, Unite warns

2 min read
North Sea strikes could disrupt UK fuel supplies, Unite warns
PrimeXBT Editorial Team
Reviewed by PrimeXBT

More than 160 offshore rig workers plan a 24-hour strike from Wednesday at Apache platforms linked to the Forties Pipeline System. Union Unite says a halt in production could disrupt UK fuel supplies, while Apache says it expects no impact on other users of the pipeline.

The Unite union said on Monday that more than 160 offshore rig workers will join a 24-hour strike from Wednesday in the North Sea. According to Unite, the action could "severely disrupt" UK fuel supplies. It expects the walkout to begin at 6am that morning.

Forties pipeline platforms at the centre of the dispute

The strike will include workers at five Apache oil platforms linked to the Forties Pipeline System, which is responsible for about 30% of the UK's oil production. Unite has claimed that a halt in production could lead to a sharp drop in pressure across the pipeline system. Ineos, the pipeline's owner, did not respond to a request for comment.

Pay talks between union leaders and Apache are scheduled to continue through the Acas mediation service on Wednesday. However, Unite says Apache has shown no willingness to resolve the dispute, so it expects the strike to go ahead.

Apache plans contractors and cites a 4% pay offer

Apache said it plans to use experienced contractors to continue production during the strike. It added that even if all five platforms were unable to operate, it would not expect an impact on other oil companies using the Forties pipeline. Its offer provides a 4% pay increase for employees in the bargaining unit.

The Texas-based company plans to end all its North Sea operations by the end of 2029. It blames the government's windfall tax, which means oil companies pay a total tax rate of 78% on their profits.

More strikes planned at Harbour Energy platforms

A 48-hour strike starting on Tuesday was already planned by Wood Group workers contracted to Harbour Energy's Britannia, Jasmine, Judy, Lomond and North Everest platforms. Wood Group said only eight of the 150 employees contracted to the affected platforms took part in strike action earlier this month, and that the action did not disrupt operations. According to Unite and the RMT union, a third 48-hour strike is planned for 3 November.

The action comes ahead of the budget on 28 October and an imminent decision on the Jackdaw gas project.

Source: The Guardian

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