The industrial dispute between workers and the energy companies operating on the Norwegian continental shelf has caused a combined historical and future production loss for operators of 2.4 million barrels of oil equivalent in 2026, or about 1.6 billion Norwegian krone ($164 million), industry group Offshore Norway said Thursday.
Offshore Norway, which represents energy exploration, production and supply companies working on the Norwegian continental shelf.
While the industry has been successful in reaching agreements with other trade unions representing about 75% to 80% of the employees covered by the well service agreement, negotiations are at a stalemate with trade union Safe, Stian Danielsen, communication manager for employer policy at Offshore Norway, said in an interview withlast week.
About 400 workers have been furloughed by offshore service providers on the Norwegian continental shelf following the dispute with dispute with employees covered under the well service agreement and represented by Safe, Danielsen said.
"The Safe strike is costing more than 500 million [kroner] per week. As of today, more than 400 employees have furloughed, including workers in companies that are not party to the strike," Offshore Norway said in its Thursday statement.
The affected employees had an average annual salary of about 1 million kroner and it is unclear if all of them would qualify for unemployment benefits due to the strike, said Elisabeth Brattebo Fenne, chief negotiator and director of labour relations at Offshore Norge.
The strike has significantly disrupted drilling operations, causing delays, reduced activity, and planned shutdowns at several locations. Drilling and well operations have stopped at five mobile rigs, five fixed installations, and one intervention vessel, while operations at four inspection, maintenance, and repair vessels have also been affected, Offshore Norway said.
Meanwhile, production losses are increasing and expected to rise to about 120,000 barrels of oil equivalent per day by the end of week 30 of the calendar year, the statement added.
has reached out to Safe for a comment.