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Connacher is a growing exploration, development and production company with a focus on producing bitumen and expanding its in-situ oil sands projects located near Fort McMurray, Alberta

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Message: Positive Factors Going Forward

Jurek

Thanks for noticing, I was wondering if someone might ask that question. My 6.6 cents cash flow is from netbacks only, before any exchange gains, G&A equity from PDP etc.

I believe that the netbacks are the key so I invest based on that.

Upstream netback, was $27,072 Refining was $7699 which was more then I had estimated. The $27,072 did not include the loss on the $49.50 hedge which I have in my numbers, so even after adjusting the 27,072 for the hedge loss, the netbacks were much higher.

I did estimate about a $40 million exchange gain as a separate note. I agree with the paper numbers of the foreign exchange gains numbers as something not to get too excited about. It is a gain, if the debt was repaid at Sept 30 2009.

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