A proposed strike at Japanese energy firm Inpex's 9.3 million metric-ton-a-year Ichthys liquefied natural gas export facility in Darwin, northern Australia on Wednesday and Thursday has been canceled as progress was made in negotiations, according to multiple media reports, citing Offshore Alliance union.
Earlier this month, lawyers representing the union had served the facility with a notice for intent to strike, following months of failed negotiations.
The decision for strike was taken after about 326 of 346 union workers at the facility voted last month in favor of a strike to further their demands for better pay and working conditions.
According to its website, Offshore Alliance is a partnership between the Australian Workers' Union and the Maritime Union of Australia, and covers workers in the offshore oil and gas industry.
A strike at the facility, which accounts for about 2% of global LNG output, could have had severe consequences for the market amid the supply disruptions from the Strait of Hormuz due to the ongoing Middle East crisis, Bloomberg reported.
has reached out separately to Inpex and Offshore Alliance for comments.