Keeping in mind that the main objective of our future wealth depends on Connacher's shareholders owning 100% of our bitumen resource at the Great Divide and Algar, the current sale of shares, building loan and new credit facility is the only way that we can maintain 100% control of our resources. But just maintaining 100% control would be hollow if Connacher was to go broke a year down the road. In order to prevent this Connacher management has reduced Connacher's production cost to be the lowest in the Alberta Oilsands as our production cost is currently $17-$20 bbl/d of bitumen. In the mean time the Great Divide is currently producing 8,000bbl/d of bitumen plus 3,000bbl /d of conventional oil & gas for a total of 11,000 boe/d. By July, The Great Divide will be above its 10,000 bbl/d design capacity with any luck and will have 3,000 bbl/d of conventional oil and gas plus well pairs P11 and P12 will be producing between 1,000-2,000 bbl/d of bitumen ( total = 14,000 boe/d to 15,000 boe/d) plus Connacher still has 600 boe/d of natural gas behind pipe waiting for a higher price to hook it up. More cost savings are on the way by being the first oilsands producer out of the gate to resume construction. Labour costs are down 35% in northern Alberta so rather than paying inflationary prices, we will get a bargain on lower building costs in addition to being socially responsible and employing a lot of unemployed workers at present. We will also get our 15+ new well pairs drilled at Algar a lot cheaper this December with the number of rigs sitting idle, companies will cheaply jump at the work. Remember, The 15 well pairs need to be drilled this December 2009, (or put it off for another year.) Connacher needs to attack now. If it hesitates now it will go broke because the interest payments on the debt did not stop when production did. No, $60 million interest is due in June and another $60 million is due in December (I seem to recall this is what we pay in interest). In addition, the principal on the loan is due in 2012 so Connacher needs to stick to the original plan and get building soon or our production and the rising cost of the bitumen we sell by 2012 will not be enough to pay off the principal and get the huge burden off of Connacher's back. Once Connacher gets rid of its debt or substantially reduces it, the interest on the loan can be reduced and with the obscene amounts of profit coming in by 2012 , then Connacher will be able to start buying back shares and destroying them (to increase the value of shareholder's shares) as well as paying for the IEA expansion out of cash flow.

One side benefit of the share sale is that those of you who were getting worried because Resolute Funds Limited holds 38,200,000 common shares respesenting approximately 18.09% of all outstanding shares, well now after the sale Resolute Funds Limited will only control 9.04% of Connacher's shares. Divide and conquer.

Personally, as a long term shareholder I feel that my shares are a lot safer today and a lot more secure going forward, because I am confident as others have said on the board today that with the price of oil increasing going higer and higher by 2012 (Jeff Rubin et al) and nobody in sight wanting to buy out Connacher because of our integrated strategy, our debt and the number of shares issued going forward. Of course the short sellers, the day traders, the schemers and the scammers won't be pleased but I don't care about them. It's time to get to work so let us get on with it.

Best Wishes; Scott