I just listened to the Q2 Conference Call and made the following notes for those of you who are unable to access the replay of the Conference Call.

1) Dick Gusella stated that there is now a serious group of long term institutional investors including Resolute Funds, who have bought shares since the new share issue.

2) Connacher has no short term bank debt or covenants attached to it.

3) There are currently 2 drilling rigs at the Algar site to drill the SAGD well pairs. I is currently drilling and the 2nd rig is being mobilized on the site today to commence drilling.

4) A marked improvement has taken place since the first quarter as Connacher has shown a profit of $40 million dollars in Q2 which offsetts the loss in Q1.

5) Connacher's hedge on 2,500 bbl/d of bitumen ends on August 31st and Connacher is replacing it with a $60 to $84 USD costless collar which goes from August 31 to December 31. In addition, Connacher has set in place another hedge on 2,500 bbl/day of bitumen to replace the hedge which ends on December 31st. The new hedge is for $78 USD and will run for the entire 2010 calendar year. The aim is to have a costless collar hedge for 50% of Connacher's daily bitumen production going forward.

6) Daily production at the Great Divide was 7,900 bbl/day of bitumen today and Pete Sametz said that he expects the number to keep going up. Shareholders were reminded that SAGD is a very tricky process and the numbers change daily and with each well in addition. The two new well pairs are now turned to producing bitumen. Connacher is back now to producing consistent steam. Little issues keep coming up ex.. the power outage at Great Divide, the evaporator issue, flare stack issue, ESP replacement issue. All of these are one off issues, there are no systemic problems or repetitive problems - production volumes have been frustrating over the last couple of months. As production increases the SOR's will continue to go down. Connacher is the only company providing daily production on its slide show in its presentations. Most SAGD operators only provide monthly results or quarterly results.

7) There will be a 1 week turnaround for Great Divide in September and Connacher's technical staff are really good at recovering after each shut down so production losses will be minimized from the turnaround.

8) Connacher is diversifying bitumen sales to nearby upgraders and other sources.\

9) Production costs are running under $15.00 bbl and will continue to decrease with increased production volumes at POD 1.

10) MRC will be positive in terms of profit due to increased asphalt sales in Q3 despite the fact that the refinery will indergo a month long maintenance turnaround in the middle of September. They will still be able to sell and ship asphalt during the turnaround.

11) Connacher's capital program for 2009 is $325 million dollars for Algar and a $15 million dollar contingency fund.

12) Two extra well pairs are being drilled at Algar as they are cheaper to drill now in the current economic climate then they would be to drill at a later date.

13) EIA permission is expected to be granted early in 2011 to expand production to 34,000 bbl/day.

14) Most of the asphalt will be sold in Q3. MRCI produces more than 1 million bbl of asphalt a year. July, August and September will be great for selling asphalt. The tanks are usually emptied by November and then filled up over the winter months.

15) The 2nd lien bonds are selling at a discount, as are everbody else's bonds. Connacher bought back some of these bonds for $4 million dollars. They had a face value of $13 million dollars.

16) No hedges are in place for US debt as they were sold last year for $90 million dollars profit. Current debt interest is $100 million CDN dollars per year total now - with a 1.15 conversion rate. There is a costless collar hedge on $10 million for the remainder of 2009 and Connacher is making money on this now.

17) $72 million dollars is to be spent on Algar in 2010. This will be updated in the fall as the Board meets in November to determine the 2010 capital program.

18) The differential for WTI has disappeared of the last two months. Diluent is going for the same cost as WTI. New contracts were signed with new suppliers of diluent in the last month. Differentials have come way down due to the demand for heavy oil in the American Midwest. The differential is $15.00 presently. Narrower differentials are expected 15-20%.

Hopefully, I have not made very many errors this time. If so please point them out.

Best Wishes, Scott