Supplies weaken after West Australian gas explosion

Updated June 6, 2008 14:57:38

The Australian Master Builders Association has warned of job losses after an explosion in the Pilbara reduced Western Australia's gas supply.

The explosion at Apache Energy's Varanus plant cut the state's gas supply by a third.

The Master Builders Association says suppliers of materials like bricks, timber and concrete have had to cut back on production, and stockpiles of materials are expected to start to run out within a week.

Director Michael McLean says he expects construction work to slow, and workers to start losing their jobs.

"A problem like this has major ramifications down the food chain and it creates all sorts of problems for end users, like clients," he said.

"There's potential contractual disputes, and builders really need to take contingency plans to ensure that their critical path is disrupted to the minimum degree."

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