Gas producers mobilise staff to cyclone-hit plants, eye restart to avoid shortages
Western Australia's gas producers are actively redeploying staff back to offshore operations that were disrupted by Cyclone Narelle, with plans to restart production this week to avert major supply shortages for industrial customers. The cyclone forced several key plants offline, impacting about half of WA's gas supply and raising concerns over potential cutbacks if shutdowns were prolonged.
Restart timelines and production impacts
Information from the WA Gas Bulletin Board indicates that Chevron's Wheatstone project and the Woodside Energy-operated North West Shelf are expected to resume production by the end of the week. However, companies have been cautious in providing specific timing details. Woodside stated it has begun remobilising its workforce to offshore facilities, with inspections guiding startup processes and timing. The company emphasised that production at the North West Shelf will recommence only when it is safe to do so.
Woodside also noted that its Macedon and Pluto gas plants continue to operate, supplying domestic gas to WA customers from available capacity, though it did not disclose production volumes. The company reaffirmed its commitment to supporting WA's energy security through domestic gas supply.
Affected plants and global market context
The shutdowns impacted not only domestic gas output but also over 30 million tonnes per year of LNG production. Key facilities affected include the North West Shelf, Wheatstone, Santos' Varanus gas plants, and one of the three production trains at Chevron's Gorgon LNG project. This disruption comes at a critical time when the Middle East war has jolted the global gas market, leading to soaring energy prices due to closures like the Strait of Hormuz and the world's largest LNG plant in Qatar.
Industry and policy responses
The DomGas Alliance, representing major customers such as Wesfarmers and Alcoa, was unable to provide guidance on restarts or potential supply disruptions. Instead, it used the situation to reiterate calls for producers to prioritise domestic gas supply over exports, highlighting the importance of WA's domestic gas reservation policy. The alliance urged the State Government and producers to uphold this policy to ensure local energy security.
According to the Gas Bulletin Board, operated by the Australian Energy Market Operator, the Karratha gas plant on the North West Shelf is scheduled to return to production on Monday, with Wheatstone expected back on Thursday and Varanus Island resuming on Wednesday.
Global implications and market shifts
Australia, as the world's third-largest LNG producer entering 2026, faces increased value for its LNG exports amid the Middle East conflict. The war has forced Asian companies reliant on Middle East LNG to adapt, with Japan announcing it will allow less-efficient coal plants back into capacity market auctions to compensate for lost LNG shipments. South Korea is also considering increased coal power usage if LNG deliveries are disrupted, highlighting the global ripple effects of supply chain disruptions.
