Syncrude cuts May forecasted output by 35 percent: traders
NEW YORK (Reuters) - Syncrude Canada Ltd will cut forecasted May crude production volumes by some 35 percent, three trading sources familiar with the matter said on Monday, after a raging wildfire in Canada caused production shutins.
The oil sands project shut its northern Alberta mines and upgrader operations and removed all personnel from the site this past weekend. The company had said that there was no imminent threat from the fire, but that smoke had reached its Mildred Lake site.
Light synthetic crude for June delivery traded at $2.65 a barrel over the U.S. crude futures benchmark Clc1 on Monday, according to Shorcan Energy Brokers, up from a $2.45 a barrel premium settlement on Friday. May barrels were offered at $7.25 a barrel over WTI with no reported bids.
Syncrude, majority-owned by Suncor Energy Inc (SU.TO: Quote), could not immediately be reached for comment.
(Reporting By Catherine Ngai; Editing by David Gregorio)
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