Rising US labor costs threaten new LNG projects

Reported 11 months ago

Skilled labor shortage and high inflation from wage growth in the US Gulf Coast are causing delays in liquefied natural gas (LNG) projects, affecting construction budgets and returns for investors. Labor costs have surged up to 20% since 2021, prompting some firms to reconsider contractors and investor partnerships to manage rising construction expenses. The situation highlights the impact of COVID-19 on labor costs and the adjustments needed in the LNG industry to navigate escalating challenges.

Source: YAHOO

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