Fire Cuts Suncor’s Output, Won’t Affect Prices
The Suncor oil sands facility in Alberta. (image: nationalpost.com)
A fire at its Fort McMurray, Alberta oil sands facility will force Suncor, Canada’s largest oil producer, to cut production for the next few weeks, according to an article published by Reuters on Thursday. Output will fall from between 120,000 to 150,000 per day until repairs can be made. While Suncor’s stock price dropped by 3.6% due to the incident, oil traders do not expect futures contracts to be affected. Crude oil inventories are still at historical highs, making this single incident somewhat irrelevant to current and future crude prices.
