Workers at Inpex's Ichthys liquefied natural gas (LNG) plant in Darwin have overwhelmingly approved a new enterprise agreement following months of negotiations and industrial action, according to media reports.
The deal marks the first major agreement in what unions describe as a new round of bargaining across Australia's offshore energy sector.
The agreement follows a strike that temporarily halted production and LNG exports at the Ichthys facility.
Unions now hope to secure similar pay and workplace conditions in upcoming negotiations with Shell, Chevron and Woodside Energy, positioning the Inpex settlement as a potential benchmark for the wider industry.
Higher pay and stronger protections
The agreement was negotiated by the Offshore Alliance, comprising the Australian Workers Union and the Maritime Union of Australia, alongside the Electrical Trades Union, on behalf of around 470 workers.
Under the deal, employees will receive annual pay increases of 3.75%, lifting the maximum base salary for some highly skilled workers to more than A$300,000 by 2030, excluding overtime, allowances, bonuses and travel payments.
The agreement also includes enhanced travel, accommodation and redundancy benefits, while placing limits on the use of contractors and labour hire arrangements that could undermine permanent employment.
"Members have won an agreement that delivers significant gains in job security, pay, career progression, workplace rights and working arrangements," said the Offshore Alliance.
Strike paved the way
The previous enterprise agreement was signed in 2022. After months of negotiations failed to produce an outcome, workers launched industrial action in June, bringing production at the Darwin LNG plant to a standstill before reaching a provisional agreement with Inpex.
The company unsuccessfully sought to halt the strike through the Fair Work Commission, arguing the disruption would damage Australia's economy. The Commission rejected the application following a two-day hearing.
According to Reuters, unions estimate the strike delayed two condensate cargoes and one LNG shipment, costing Inpex approximately US$200 million in lost earnings.
Sector bargaining gathers pace
Inpex Senior Vice President Corporate Bill Townsend confirmed the workforce had approved the agreement and said the company would now submit it to the Fair Work Commission for final approval.
The outcome shifts attention to the next round of enterprise bargaining across Australia's offshore LNG industry, with Shell's Prelude floating LNG facility expected to become the next major focus for unions.
The Ichthys project supplies around 10% of Australia's LNG export capacity, making the agreement significant not only for its workforce but also for broader labour relations across one of the country's most strategically important industries.