Australia Watchdog Greenlights Woodside LNG Strike

Core Insights - The Australian Fair Work Commission has authorized industrial action at Woodside Energy's Pluto LNG 2 project due to wage disputes between trade unions and the company [1][2] - A vote by the Offshore Alliance on whether to strike must occur by December 4, which could delay production start from the planned second half of 2026 [1] - Workers at Pluto LNG 2 are reportedly paid 30% less per hour compared to those at Chevron's Wheatstone LNG project, leading to the wage dispute [2] Company Overview - Pluto LNG 2 is currently 91% completed and is an expansion of the original Pluto LNG project, which sources natural gas from the Scarborough gas project operated by Woodside [3] - The expansion will add a capacity of 5 million tons of LNG annually, with construction having started in 2022 [3] - The original Pluto facility has delivered over 500 LNG cargos to date [3] Industry Outlook - Woodside Energy anticipates significant growth in oil and gas sales over the next seven years, primarily driven by liquefied natural gas [4] - By 2032, the company expects to increase its annual capacity from 19 million tons to 40 million tons, with Pluto LNG 2 contributing an additional 5 million tons [4] - Global LNG demand is projected to grow by 60% by 2035, positioning Woodside to optimize its capabilities across the Atlantic and Pacific basins [5]