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    No Sign of Break in Norwegian Strike

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Summary

A planned shutdown of offshore oil and gas fields in Norway looks set to go ahead as talks between the strikes and industry have failed to yield any results.

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Natural Gas & LNG News, News By Country, Norway

No Sign of Break in Norwegian Strike

A planned shutdown of offshore oil and gas fields in Norway looks set to go ahead as talks between the strikes and industry have failed to yield any results.

The shutdown is expected to take place at midnight tonight and will be carried out if the strikers do not cease action or if the government does not intervene before that time.

Offshore workers have been protesting for the past 16 days in a bid to attain full pension rights and pay at the age of 62, three years before the state retirement age of 65. Talks between the workers and the Norwegian Oil Industry Association (OLF), the body that represents the fossil fuel industry in Norway, have reached a stalemate. Consequently, the OLF ordered a shutdown of all offshore fields last Thursday.

In a statement last night, the body said that the situation was "very serious" having already cost the industry NOK 2.9 billion (approximately €387 million). Workers, it said, had some of the best pension rights in Norway.

"Oil company employees have an average annual income of NOK 1 million and a retirement age of 65," chief negotiator for the OLF Jan Hodneland said. "This already makes them Norway’s pension winners. They've nevertheless opted to use their power to win even better terms."

Norwegian Minister for Industry Hanne Bjurstrøm recommended last night that the workers and industry undertake another round of talks to resolve the matter. However, despite mediation yesterday, the minister "did not find a basis to present a written proposal he thought the parties could accept," the OLF said.

A spokeswoman for the OLF told Reuters today that the strike would go ahead unless the government intervened in the matter.

"The companies are now ready to close down production on the Norwegian continental shelf if the government doesn't intervene before midnight," Eli Ane Nedreskaar said.

Norwegian major Statoil said last week that it would follow through on the shutdown with preparations underway to lock out the workers from their workstations from midnight tonight. That shutdown is expected to take between one and four days.