Sharky et al:

My belief is that the news of this morning reflects that Connacher has as previously announced, hedged part of their production. We likely now know that the percentage of total production hedged was 50% of their 10,000 production capability.

Though obviously not desirable to cut back on production, or to postpone Algar, these steps are likely absolutely needed to limit risk until the current situation can clarify itself. My guess is that staffing in operations is also being cut to fit more appropriately cash flow from throttled production.

Obviously, this news overall, is not welcome. But, to hear that Connacher was not acting to limit risk from the current situation, would be even more distressing and put the entirety of the company at risk.

Brian