NYT: Wildfires in Canada are reducing oil production and damaging the oil and gas industry

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Wildfires in western Canada have caused oil companies to shut down production and increase the cost of resources. In this respect writer New York Times.

The publication pointed out that oil sand deposits, which produce about 2.7 million barrels of oil per day, are under threat. According to energy consulting firm Rystad Energy, the fires caused major market players to announce production cuts. We are talking about a reduction of at least 240 thousand barrels per day.

Chevron has temporarily halted production at Kaibob oil and gas fields in central Alberta. Paramount has closed its natural gas processing plant. At the same time, both companies said the priority is the safety of workers.

The authors of the article added that it is not the first time that forest fires in the country have damaged the oil and gas industry. They occur due to years of drought and abnormally high temperatures.

At the end of April, CNBC reportedNorfolk Southern, a US rail company, estimates its losses from the Ohio train crash to be $387 million. The savings are not final and may increase over time.

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