TORONTO (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 said on Monday it had temporarily shut in about 30,000 boepd and its assessment to date indicated “minimal damage” to its key infrastructure.
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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)
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