• 5 minutes Drone attacks cause fire at two Saudi Aramco facilities, blaze now under control
  • 8 minutes China Faces Economic Collapse
  • 12 minutes Oil Production Growth In U.S. Grinds To A Halt
  • 14 minutes Iran in the world market
  • 17 minutes Ethanol, the Perfect Home Remedy for A Saudi Oil Fever
  • 25 mins USA Wants Iran War -- Shooty Shooty More
  • 8 mins Experts review drone damage . Say Saudis need to do a lot of explaining.
  • 4 hours Yawn... Parliament Poised to Force Brexit Delay Until Jan. 31
  • 4 hours Collateral Damage: Saudi Disruption Leaves Canada's Biggest Refinery Vulnerable
  • 16 hours USA : Attack came from 'Iranian soil'. Pompeo to release 'evidence'.
  • 8 mins The Spy Money: U.S. Wants To Seize All Money Edward Snowden Makes From New Book
  • 57 mins Saudis Confirm a Cruise Missile from Iranian Origin
  • 2 hours Aramco Production
  • 6 hours Wonders of US Shale: US Shale Benefits: The U.S. leads global petroleum and natural gas production with record growth in 2018
  • 22 hours Never Bring A Rapier To A Gun Fight
  • 6 hours Trump Will Win In 2020 And Beyond..?

Alberta Wildfires Shut Down 24 Shell Gas Wells

Fire

Wildfires raging in southwestern Alberta have prompted Shell to shut down 24 natural gas wells and pipelines around them, Canadian media reported, adding that other companies, including Questfire Energy and West Lake Energy, were also shutting in gas-producing facilities.

Shell’s Waterton sour gas processing complex remains in operation for the time being, but the company has a contingency plan to shut it down if the fires approach it, a Shell spokesman told media. The company, however, has reduced staff numbers at the site, including in the field and the processing plant, and has prepared plans for their evacuation in case the flames come too close.

The Waterton facility has a processing capacity of 179 million cu ft of sour gas daily, and produces methane, ethane, propane, butane, and condensate.

The wildfire, according to the latest data from Alberta authorities, had grown by 33,000 hectares since Monday and was still beyond control as of early morning today. One local official said the fire is likely to remain out of control for some time, although forecasts of wet weather moving in suggest this may happen sooner rather than later.

Last year, another wildfire near Fort McMurray crippled the Alberta oil industry for several months, reducing crude oil production due to field and processing facility shutdowns.

Related: 97-Year-Old Law May Be The Cause Of Higher Gas Prices

Alberta accounts for the bulk of Canada’s crude oil production and for 68 percent of Canada’s natural gas production. Earlier this year, Shell, along with other Big Oil players in the oil sands, sold most of its Canadian operations but retained the Waterton gas complex and a few other assets in the country.

Although the divestiture was mainly aimed at reducing Shell’s massive debt pile that followed the acquisition of BG Group, coupled with the other asset sales it sparked worry that Big Oil was turning its back on the Alberta oil sands as it sought lower-cost, quicker-return opportunities in U.S. shale.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play