Hi rebels1. I see your point and I agree that CLL shares are currently undervalued, but at present I still think that CLL is small potatoes with its currently reachable design capacity at present at Great Divide of 10,000 bbl/d and possibly an additional 10,000 bbl/day by this time next year from Algar. In my mind if a large major was going to buy a SAGD bitumen production company they would buy one currently producing around 100,000 bbl/day of production to add siginificantly to their existing production. Let's look at the reasons why a large oil company would want to take over another oil company.

1) To significantly increase their existing production. Taking over a 100,000 bbl/day project or even a 50,000 bbl/day producing project would do that. Taking over a 10,000 bbl/day producer (as Connacher currently is) would not significantly increase their exisiting production and justify the over 1 billion dollar cost.

2) To get their hands on the takeover targets huge cash reserves. Well Connacher doesn't have any huge cash reserves, just borrowed money and debt.

3) To get their hands on vast proven oil reserves. Well once again, Connacher has played it very smart by just drilling enough bitumen core hole samples to satisfy their present needs for Great Divide, Algar and a limited future expansion (EIA). We really don't know the entire size of Connacher's bitumen reserves because management wisely decided not to drill them all up first like UTS did. Until Connacher's total reserves are drilled up a prospective buyer will be gamblimg well over a billion dollars that Connacher may have a lot more P! and P2 reserves. Then again there may not be much in the way of reserves beyond what has been found already, or the bottom hole architecture may have water or it may not be optimum on the unexplored lands. However, they won't know for sure unless they buy Connacher and spend a lot of money drilling up the reserves to prove them up. So this is another limitation.

4) A company looking to buy a pure bitumen producer would be stuck with the MRC refinery which they would most likely view as a liability as it would be very difficult to sell due to its present size and its constant need for money to meet increasing environmental requlations. Most of the 10,000 barrel refineries in the USA which were the state of the art in 1950 in terms of size have now all been shut down except for MRC and maybe one other. Then there is Connacher's natural gas production which they wouldn't get much money for selling today and Petrolifera's shares which they wouldn't get much money for selling today.

5) You don't hear anything from Total on whether or not they view their past takeover of Deer Creek as successful now, several years later. Do they think looking back that the amount of money that they spent was worth the project that they purchased? This would be very important to know by anyone who was interested in buying Connacher.

On the other hand, Connacher might become a bit more attractive next year when the US changes the way that it evaluates bitumen reserves. I think in January the SEC is permitting bitumen producers to count their reserves the same way that conventional producers book their reserves so P2 and P3 reserves can all be counted as proven reserves the same as conventional reserves. In this case, yes Connacher will suddenly on paper become a lot more valuable and a lot more desirable overnight (January 2010).

Just an afterthought, but I'm getting tired of posters on this board referring to Connacher's production as 7500 bbl/day as this is patently wrong. Connacher's bitumen production as of the conference call was 7,900 bbl/day and conventional crude oil produciton is 1,147 bbl/day and natural gas equivalent is 2,081 bbl/day for a Total over 9 months of 9,455 bbl/day according to the Q2 report. Just want to correct this misconception.

Best Wishes; Scott