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OIL AND GAS
Wildfires threaten Alberta oil operations
by Daniel J. Graeber
Calgary, Alberta (UPI) 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."

Canadian producer MEG Energy Corp. became the latest to evacuate non-essential staff from Alberta following the potential risk from forest fires.

"Safety is absolutely paramount," Jamey Fitzgibbon, a senior vice president at MEG, said in a statement. "As a precautionary measure, we have temporarily suspended operations."

The provincial government during the weekend enacted a full ban on open fires as hot, dry weather persists across the region. Environment Canada predicts a slight chance of showers through mid-afternoon Wednesday with a high near 70 degrees Fahrenheit, about 10 degrees warmer than average for central Alberta.

As of Monday, the provincial government reports 29 active wildfires, including a 500-acre wildfire that's forced the evacuation of roughly 2,000 residents in north-central Alberta. Since April 1, more than 600 wildfires have been reported, charring more than 32,000 acres of land.

Emergency management officials said evacuation orders were in place for some areas affected by the wildfires.

Canadian Natural Resources evacuated workers from provincial stations during the weekend. Operational closures in response to the fire threat in Alberta have cost the company close to 100,000 barrels of oil per day in production.

Alberta deployed more than 1,000 personnel to help battle the blazes.

"Hot, dry weather is forecasted to continue for at least another week, threatening to further elevate wildfire hazard," the provincial government said.

Alberta is the top oil-producing province in the country.


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OIL AND GAS
Wildfires force third Canada bitumen mine to close
Ottawa (AFP) May 27, 2015
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. ... read more


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