Alberta wildfires hit gas flow out of Canada to US, spiking prices

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Alberta wildfires hit gas flow out of Canada to US, spiking prices
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Abnormally hot and dry weather is set to return to Alberta on Thursday after a couple of cooler days helped calm wildfires that have forced thousands of evacuations and disrupted production in Canada's main oil-rich province.

Record-high temperatures and tinder-dry vegetation have led to an intense, early start to the wildfire season in western Canada this year and forecasters see no improvement in conditions at least until next week.

U.S. natural gas futures gained about 2% on Thursday to a two-week high on the reduction in imports from Canada even as mild weather in the U.S. Lower 48 keeps demand for the fuel low for both heating and cooling. Consultancy firm Rystad Energy has estimated nearly 2.7 million barrels per day of Alberta oil sands production in May is at risk in "very high" or "extreme" wildfire danger rating zones.

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