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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: Operational Costs

The reservoir is stubborn to release more oil regardless of number of "tricks" and millions of dollars applied by the management.

Hi Jurek

That's my opinion as well.I don't know much about SAGD operation techs but like you wrote it looks more and more that management is focussing on the conventional oil area ..

If that should turn out to a succesfull event maybe it's better to handle with lower cost and higher yield on earnings.

That also means that the production level they had in mind for expansion around 44.000 is just a number because by following CLL's SAGD production it's not obvious they can reach that figure .So far best case is 70 to 75 % of design capacity.Pumping up a very tick material like bitumen which need to be warmed up is not as easy as pumping up a liquid source like conventional oil and probably more difficult to handle for stable production.From a writing 2C posted once there are companies that indeed can met their goal so question is where is the bottleneck at CLL.Skill or the reservoir and I think it's most the last one.

Supposing the light play turns out to a succesfull production then IMO they better put their attention at first place there and leaving the expansion beside for a while until cash comes in from the light oil.

By following this stock I think many of us has tought things could turn out more easier on production level.Now it's clear it's not that simple and for sure to reach a design output .

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