Climate-related extreme weather puts oil and gas assets, production at risk

Climate-related extreme weather puts oil and gas assets, production at risk CALGARY — Suncor Energy Inc. filed a disclosure document last year laying out what would happen if extreme weather were to force a 10-day shutdown of its massive Base Plant oilsands mine in northern Alberta. Amanda Stephenson, The Canadian Press Jul 21, 2024 3:00 AM Jul 21, 2024 3:05 AM Share by Email Share on Facebook Share on X Share on LinkedIn Print Share via Text Message The oil and gas sector, like all industries, is exposed to climate risk from events like fires and extreme weather.

Trees line Suncor's oilsands operation near Fort McMurray, Alta. on Friday, Sep. 1, 2023.

THE CANADIAN PRESS/AP/Victor R. Caivano CALGARY — Suncor Energy Inc. filed a disclosure document last year laying out what would happen if extreme weather were to force a 10-day shutdown of its massive Base Plant oilsands mine in northern Alberta.

The document — which Suncor filed with CDP, a global non-profit that maintains a database on corporate environmental action and climate risk — details the financial risk to the company posed by such a scenario. While the likelihood of extreme weather events remains "unknown," Suncor said in the document that a 10-day Base Plant shutdown could cost the company $56 million per day (more than half a billion dollars in total) in the form of lost revenue due to production losses. When analysts talk about the oil and gas sector's exposure to climate change-related risk, they often c.