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OIL AND GAS
Wildfires force third Canada bitumen mine to close
by Staff Writers
Ottawa (AFP) May 27, 2015


Canada wildfires displace nearly 7,000
Ottawa, Canada (AFP) May 26, 2015 - Nearly 7,000 people in Canada's Alberta province have been evacuated from the path of wildfires which threaten to ravage homes and businesses, including oil refineries in the region, officials said Tuesday.

More than 1,600 firefighters are battling the 70 wildfires, 55 of which were sparked by lightning on Sunday.

Since then, a province-wide ban on campsite and backyard fires has been issued, and the government is considering calling in help from the United States and Mexico, with 20 of the blazes are burning "out of control."

Fire has creeped to within 20 kilometers of homes or oil facilities, Alberta Forestry Minister Oneil Carlier said during a telephone briefing.

Some 2,000 workers were evacuated from Cenovus and Canadian Natural Resources Limited oil facilities in the Cold Lake region, as a fire 10,000 hectares in size threatened to cut off the only access roads.

The two bitumen mines account for 233,000 barrels of oil produced per day or 10 percent of the region's total upstream oil production.

None of the oil facilities themselves are threatened.

However, "it's going to take time for our fire fighters to get in there and get the fire under control," an Alberta fire official told the briefing.

As well, 4,700 residents of the Wabasca hamlet were ordered evacuated, and 67 people were forced to flee a housing subdivision near Slave Lake.

Government evacuation centers have been set up for displaced people, officials said.

Meanwhile, most of Alberta faces a "high to severe" threat of fire.

"Weather will continue to be warm and dry this week," an official said.

"There will be storms rolling in but they won't be enough to quell the fires."

Evacuation orders for thousands in Alberta were lifted Wednesday while a third oil company joined others in shuttering its facilities threatened by wildfires in the Canadian oil patch.

The fires have blackened nearly 30,000 hectares (7,413 acres) of forests in the Canadian province, forcing a 14-percent cut in oil sands production as residents and oil workers were ordered this week to flee.

As of 10:00 am (1600 GMT), 63 forest fires were still burning, but the number of out-of-control blazes had been reduced from 20 the previous day to 13.

Successes in battling the flames allowed evacuation orders affecting some 4,700 residents of the Wabasca hamlet and other northern communities to be lifted, according to the Alberta wildfire operations center.

"We are somewhat pleased at the slight turn to the better with respect to the control that appears to be in place around the communities and the fact that some people are being able to return to their homes," Alberta Premier Rachel Notley said.

However, elsewhere in the province, MEG Energy shuttered its Christina Lake bitumen mining operation and sent home staff. The mine produces an average of 82,000 barrels of oil per day.

Its closure came after Cenovus and Canadian Natural Resources Limited shuttered oil facilities in the Cold Lake region earlier in the week as fires threatened to cut off access roads.

The combined reduction in oil sands production of the three facilities is 315,000 barrels per day.

Cenovus on Wednesday also temporarily closed another facility that was not yet in production, while Statoil evacuated 115 staff from its Leismer facility without affecting its oil output.


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