Giant oil company Chevron dismissed on Friday a workers' union report of a housing ship that allegedly slammed into a barge off the Pilbara coast and endangered the lives of numerous workers aboard the vessel at that time.

The Maritime Union of Australia said that due to high winds, the ship was cut off from its moorings and hit a barge next to it, creating a gaping one metre hole into the side of the liner.

However, union representative Noel Neilson claimed that instead of ordering immediate evacuation, Chevron officials apparently ordered the ship's crew to proceed to Dampier Port.

Mr Neilson stressed that the union is concerned about the welfare of many workers who were aboard the ship at that time as he noted that the Finnmarken, a former cruise ship, houses more than 270 Chevron workers stationed on its Gorgon gas facility on Barrow Island.

On its part, Chevron denied that their housing ship rammed into a barge and maintained that a hole on the vessel was simply discovered during its operational call to the Dampier Port.

The oil and gas company said that minor repairs would be undertaken on the ship and once it has been declared fit to sail, the housing ship would be ordered to return on its station.

Chevron gave assurance that the ship and all the people aboard it were never at risk when the damage was identified during a routine inspection.