Norwegian Strike Could Hit Gas Units

A strike in the Norwegian public sector over rates off pay could cut gas exports from the country to Europe, it has been warned.

Norwegian pipeline operator Gassco said the strike, which is reported to include around 50,000 workers, could see the Karsto gas processing plant forced to shut down due to lack of supply should the strike continue. The plant currently supplies around 25 per cent of gas exports to Europe.

The strike has affected the ability of pilots who usually guide tankeries to refineries to carry out their duties, halting the import and export of gas from Karsto.

"If you can't ship products and the storage tanks fill up, you have to stop the entire plant, including the pipeline gas exports to Europe," Gassco spokesman Kjell Larsen told the Dow Jones news agency.

At present, the strike action shows no sign of stopping, with the dispute potentially disrupting supply from Karsto for quite some time.

"This industrial action could have been avoided," chief of the Norwegian Confederation of Trade Unions Roar Flathen told Norwegian newspaper VG .

"Nevertheless, we are now on strike, and I promise you that we are going to strike a long time if the State does not contribute more money. We then face a long, drawn-out conflict."