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Strike Halts Ship Loading at BHP's Port Hedland

Stoppages risk large daily revenue and royalty losses for iron ore exports from the world’s biggest bulk port.

Overview

  • Industrial action began on Saturday with a 24-hour ship-loading ban followed by a 24-hour general work stoppage that starts at 5:30am AWST on Sunday.
  • About 150 BHP port workers are expected to take part in the stoppages, a subset of roughly 450 operators and maintenance staff represented by the Combined BHP Ports Unions.
  • BHP ships about $80 million of iron ore through Port Hedland each day and industry estimates put potential daily revenue losses as high as roughly $100–120 million with state royalties of about $7 million at stake.
  • Unions say months of bargaining over a four-year pay deal stalled after offers including a 16% increase were judged inadequate, and the parties will meet again under the Fair Work Commission on August 18.
  • BHP says it has contingency plans to keep operations running and warns strikes will delay a negotiated deal, while the stoppages could tighten shipment timing for customers that rely on Port Hedland exports.