Talks Avert Norwegian Oil Field Strike

Last minute negotiatons averted an offshore platform strike Tuesday that could have cut Norwegian oil production by 1 million barrels a day at a time when crude prices are pressing a record $60 per barrel.

The agreement between the Lederne, a union representing those with leadership jobs, and the Norwegian Oil Industry Associated came 90 minutes before a midnight strike deadline, following two days of talks.

Norway is the world’s third-largest oil exporter, after Saudi Arabia and Russia, with a capacity of about 3 million barrels per day. The sides negotiated with the knowledge that the govertment would not accept a one-third cut in Norway’s production in a labor conflict, because it would hurt the nation’s economy and reputation as an oil supplier.

ABC News