(Adds background on the fire)
NEW YORK, May 12 (Reuters) - CNOOC Ltd's Nexen has issued a
force majeure for 100 percent of its May production of Canadian
heavy crude, two sources said on Thursday, the latest sign that
a raging wildfire in the heart of Alberta's oil sands is curbing
supply.
Nexen's force majeure relates to supply of its Long Lake
Heavy crude, according to two sources familiar with the matter.
Due to production cuts from counterparties, the company was also
passing along a cut of 68 percent of Western Canadian Select and
Access Western Blend crude sales to customers, the sources
added.
A Nexen spokeswoman could not immediately be reached for
comment.
The notice followed a string of major oil firms, including
BP Plc BP.L and Suncor Energy SU.TO , warning they will not
be able to deliver on some contracts of Canadian crude following
a May 1 fire that forced the evacuation of 88,000 people from
Fort McMurray.
Roughly 1 million barrels per day (bpd) of output were shut
down during the fire, about half of the oil sands' usual daily
production.
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