Alberta set for wildfire relief as oil firms shut output (updated)

Paramount Resources (Pre-Merger)

08/05/2023 14:40

(Recasts with impact on oil production, adds insurance
estimates from the worst wildfires in final paragraph)
       TORONTO, May 8 (Reuters) - Canada's oil producers shut
down production after Alberta was hit by an "unprecedented"
wildfire season, although rain and cooler weather are expected
to bring some relief on Monday.
    The country's main oil-producing province declared a state
of emergency on Saturday due to wildfires, shutting production
of at least 145,000 of oil equivalent per day (boepd) and
displacing nearly 30,000 residents.
    Canada is home to the world's third-largest reserves, and
most of these are in northern Alberta's vast oil sands.
    More than 100 wildfires are still active, with more than 30
classified as out-of-control.
    "People have called this season certainly unprecedented in
recent memory because we have so many fires so spread out,"
Christie Tucker from Alberta Wildfire said on Sunday.
    Vermilion Energy Inc  VET.TO  said on Monday it had
temporarily shut in about 30,000 boepd and its assessment to
date indicated "minimal damage" to its key infrastructure.
    For a related Factbox:  urn:newsml:reuters.com:*:nL4N37528H
    A mix of cooler temperatures and rain is forecast, which
authorities hope will help contain the situation. More fire
fighters are expected from neighboring provinces.
    Alberta Premier Danielle Smith is scheduled to speak to
Prime Minister Justin Trudeau on Monday.
    A 2016 wildfire in the Alberta city of Fort McMurray 
devastated some 1,600 buildings and put another 19,000 under
threat of collapse, making it one of Canada's worst.
    Insured losses from the Fort McMurray fires were estimated
at C$3.6 billion ($2.7 billion).    
($1 = 1.3319 Canadian dollars)

 (Reporting by Denny Thomas; Editing by Andrew Heavens and
Alexander Smith)
 ((denny.thomas@thomsonreuters.com; +1 416 301 0464;))