WILDFIRES in Canada's most important hydrocarbon province have forced companies to slash production by about 320,000 barrels of oil equivalent per day as they protect their people and infrastructure. Fires in north-central Alberta led the provincial government to declare a state of emergency last week, with nearly 30,000 people evacuated to date and at least 3.7% of Canadian oil and gas output cut, according to Reuters, citing Refinitiv data. No affected oil company has, as yet, reported damage to their facilities. A research note from BMO Capital Markets on 8 May said: "We note there has yet to be reports of significant damage to infrastructure, so production is expected to be restored when the wildfires are brought under control, and it is safe for operations to resume." However, analyst Mike Murphy cautioned that "announcements from other operators in the Grande Prairie, Deep Basin and Peace River regions [are] likely upcoming".
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