Mega fire in Canada cuts deep oil production

The devastating fire broke out in Canada, last week, reduced the daily production capacity of over 1 million barrels per day, and continues to push forward oil prices.

The contract expiring in June Light crude trading at $ 43.86 a barrel, up 0.97% while Brent gained 1.58% to $ 44.33. The huge fire broke out in the region of the wells, in the Province of Alberta and hit the city of Fort McMurray where more than 80,000 people were evacuated. Firefighters said that cooler temperatures are slowing the spread of the fires, but the situation is likely to last for weeks.

Meanwhile, the oil companies have reported that the reduction of oil production is between 1 and 1.5 million barrels a day, out of a total of 2.5 million barrels.