April 15 (Reuters) -
Canadian oil and gas producer Tamarack Valley Energy ( TNEYF )
has temporarily shut in about 6,200 barrels of oil
equivalent per day (boepd) of production after a fire at a
third-party gas plant at Mitsue, Alberta, CEO Brian Schmidt said
on Monday.
The plant, which processes Tamarack's gas from various
batteries in the Nipisi area, was shut down on Saturday.
Schmidt declined to say which company owns the affected
gas plant.
Tamarack said in a statement it is considering several
options to accelerate the resumption of its production as the
plant operator evaluates how long it will take to restart the
facility.
"I suspect from the fire and equipment it's not going to
be a short time," Schmidt told Reuters in a phone interview.
Tamarack's options include re-routing its gas to other
processing plants and seeking relief from an Alberta Energy
Regulator directive that limits gas flaring, he added.
The volumes temporarily shut-in amount to roughly 10% of
Tamarack's total production, RBC Capital Markets analyst Luke
Davis said in a research note.
"We expect the stock to lag peers until further clarity
is provided," Davis wrote.