Newfoundland and Labrador Wildfires: Rain Helps Contain Blazes

Rainfall has helped crews fighting wildfires in Newfoundland and Labrador, reducing the number of active wildfires from five to three. The Chance Harbour and Musgrave Harbour fires continue to burn, while the Winokapu fire in Labrador remains active. Firefighters are working to suppress the fires, but no timeline for control has been given. A province-wide fire ban is in effect.

Rainfall has provided a much-needed respite to firefighting efforts in Newfoundland and Labrador, helping to reduce the number of active wildfires from five to three. The province continues to grapple with significant wildfires in Chance Harbour and Musgrave Harbour, while the Winokapu fire in Labrador remains active. Despite the challenges, firefighters are working diligently to suppress the fires, but no timeline for control has been provided. A province-wide fire ban remains in effect.

The provincial fire duty officer, Wes Morgan, has noted the positive impact of recent rainfall on the Chance Harbour and Musgrave Harbour fires. "Bad weather makes good firefighting weather," Morgan told CBC [1]. The area around Chance Harbour received the anticipated rainfall, which has had a "real, positive impact" on the fire-fighting efforts. Up to 22 firefighters are on the ground, with aerial support, to battle the out-of-control wildfires.

The Chance Harbour fire, now listed at 1,820 hectares, has increased by 20 hectares since Monday. The Musgrave Harbour fire, which prompted the evacuation of the community, is reported to be 1,660 hectares. Morgan has expressed hope that the fire remains stable, allowing firefighters to make significant progress.

The province-wide fire ban, which was implemented on July 11, remains in effect. Fire departments are still receiving multiple calls about backyard fires and other risky actions, despite the ban. Duane Antle, president of the Newfoundland and Labrador Association of Fire Services, has urged residents to stop lighting outdoor fires and to report any illegal fires to local fire departments or police [2].

New Found Gold (NYSE:NFGC), a mining company with significant operations in Newfoundland and Labrador, has announced its first preliminary economic assessment (PEA) for the Queensway project. The PEA outlines a three-phase, 15-year mine life with total recoverable gold production of 1.5M oz at a total cash cost estimated at $1,085/oz and an all-in sustaining cost of $1,256/oz. At a base-case gold price of $2,500/oz, the Queensway project's after-tax net present value is estimated at $743M, with an internal rate of return of 56.3% [3].

The current wildfire situation in Newfoundland and Labrador underscores the importance of adhering to fire safety regulations and the need for continued vigilance in managing fire risks. As the province continues to battle the wildfires, the focus remains on the safety of residents and the effective suppression of the ongoing fires.

References:
[1] https://www.cbc.ca/news/canada/newfoundland-labrador/nl-july-21-fire-1.7590732
[2] https://www.cbc.ca/news/canada/newfoundland-labrador/campfire-risk-nl-1.7590797
[3] https://seekingalpha.com/news/4470191-new-found-gold-hits-four-month-high-after-posting-first-queensway-economic-assessment