News

Cyclone Narelle Hits Wheatstone, Gorgon as 30M Tonnes of LNG Go Offline

Q: What is the expected impact on Australian energy prices?

Analysts said the outages would add to gas market tightness in Asia and Europe, which could flow through to energy prices.

Chevron and Woodside Energy shut down major North West Shelf facilities as Category 4 system disrupts 8% of global gas supply.

The Chevron Wheatstone LNG facility under dark cyclonic skies in Western Australia

Chevron's Wheatstone facility was one of three major plants forced offline by Cyclone Narelle. Illustration: AI-generated editorial image.

By Bushletter Newsroom · 28 March 2026

Chevron confirmed on Thursday that its Gorgon and Wheatstone LNG facilities in Western Australia have suffered significant outages. The North West Shelf project, operated by Woodside Energy, also went offline as Cyclone Narelle intensified into a Category 4 system. The combined shutdowns have removed more than 30 million tonnes of annual production from the global gas market.

The Bureau of Meteorology has tracked Narelle as it moves toward the Pilbara coast. The system reached Category 4 intensity over open water and is expected to make landfall as a Category 3 storm. Energy analysts estimate the disruption accounts for roughly 8% of total global LNG supply.

This will exacerbate gas market tightness in Asia and Europe, especially if it takes more than a matter of days to normalise Australian production levels again.

— Saul Kavonic, Energy Analyst, MST Marquee

The North West Shelf facility typically produces 16.9 million tonnes of LNG annually. Its capacity had already been reduced to 14.3 million tonnes a year after one processing train was shut. Woodside Energy has not provided a timeline for restarting the facility, which remains in a safe shutdown state.

Supply reliability and importer concerns

Major importers in Japan and South Korea have expressed concern over the stability of Australian gas deliveries. This marks the third weather-related disruption to Western Australian gas exports in the last eighteen months. Analysts suggest the frequency of these events is damaging Australia's reputation as a reliable energy partner.

Temporary shut-ins at Australian LNG plants come at the worst time for LNG buyers looking to replace supply from Qatar.

— Josh Runciman, Lead Analyst, Australian Gas, IEEFA

Chevron reports that its Wheatstone facility is currently operating with minimal staff. Most non-essential personnel were evacuated from the offshore platforms and the mainland plant on Tuesday. The Gorgon facility on Barrow Island has also been secured against the projected storm surge.

Economic impact and cost of living

The reduction in domestic gas availability is expected to flow through to Australian electricity markets.

Tropical Cyclone Narelle is the strongest system to threaten the Pilbara region this season. The Bureau of Meteorology continues to issue hourly warnings as the system tracks south-southeast. Port operations at Dampier and Port Hedland remain suspended until further notice.

BoMA

Bureau of Meteorology, Australia

@BOM_au

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TROPICAL CYCLONE ADVICE NUMBER 18. Issued at 10:47 am WST Saturday 28 March 2026. Severe Tropical Cyclone Narelle (Category 4) is located 315 km north northwest of Karratha and is moving south southeast at 18 kilometres per hour.

Mar 28, 2026

The energy sector is awaiting the first post-landfall damage assessments to determine the duration of the shutdown. Spot prices for LNG in North Asia have already reacted to the news, climbing 12% in Friday's trading. Global markets remain sensitive to any further disruption to Australian production volumes.

TLDR

Cyclone Narelle has forced the shutdown of Australia's three largest LNG facilities, removing more than 30 million tonnes of annual supply from the global market. Chevron confirmed outages at Gorgon and Wheatstone, while Woodside Energy took the North West Shelf offline. The disruption affects approximately 8% of global LNG supply as the Category 4 system approaches the Pilbara coast.

KEY TAKEAWAYS

01Chevron and Woodside Energy have suspended operations at Gorgon, Wheatstone, and North West Shelf facilities due to Cyclone Narelle.

02The shutdown removes an estimated 30 million tonnes of annual LNG production, representing 8% of the global supply pool.

03North West Shelf production has dropped from 16.9 million tonnes to a projected 14.3 million tonnes for the current cycle.

0404The outages come as LNG buyers are already trying to replace lost Qatari supply.

SOURCES & CITATIONS

FREQUENTLY ASKED QUESTIONS

Which LNG facilities are shut down due to Cyclone Narelle?

The Gorgon, Wheatstone, and North West Shelf facilities are all currently offline. Gorgon and Wheatstone are operated by Chevron, while Woodside Energy operates the North West Shelf.

How much of the global LNG supply is affected?

The shutdown of these three Australian facilities removes approximately 8% of the total global LNG supply pool.

What is the expected impact on Australian energy prices?

Analysts warn of a 'triple whammy' effect that could lead to significant increases in domestic fuel prices and electricity costs as supply tightens during the cyclone.