Blockades have been established at oil terminals in several ports and all of France’s refineries following a strike over labour reforms.
Media reports reveal that tankers are queuing off the port of Le Havre and that as a result, intake of cargoes is limited and could cause some cargoes to stay afloat, causing demurrage charges to start to rise.
Total has shut down its Gonfreville and Feyzin refineries and is in the process of halting operations at two others. As a result of the strike, refining margins are at their highest level since late last year.
Additionally, LNG operator Elengy says that its three facilities have been blockaded.
Total’s CEO Patrick Pouyanne told media that the company may reconsider its investment plans in the country if the disruptions continue. He is reported saying: ‘If our colleagues want to take an industrial asset hostage for a cause that is foreign to the company, you have to ask whether that is where we should invest.’
The strike action is over labour reforms designed to make it easier for companies to hire and fire employees.