http://www.newswire.ca/en/releases/archive/December2009/14/c2856.html

Connacher Oil and Gas Limited provides operational update for Great Divide Pod One

CALGARY, Dec. 14 /CNW/ - Connacher Oil and Gas Limited (CLL - TSX) today provided a production update for its Great Divide steam-assisted gravity drainage ("SAGD") Pod One oil sands project in northeastern Alberta.

Since the beginning of December 2009 through December 12, 2009, Pod One production of bitumen, as metered but before minor sales shrinkage, has averaged 8,450 bbl/d. This average included one day's production at 5,002 bbl/d, which was at this level due to intermittent power outages. Excluding this day's production, the average month to date would have been 8,763 bbl/d (before minor sales shrinkage) with a peak rate measured at 9,058 bbl/d. Bitumen production exceeded 9,000 bbl/d for four days of the reported period.

Connacher is pleased with these results and while daily production will be variable, the company is hopeful these higher production levels, in closer proximity to the rated plant capacity, will be increasingly sustainable. Obviously, cold weather conditions and other factors can and will continue to impact on short-term daily production levels, but the company remains committed to its most likely forecast of an average of 9,000 bbl/d from Pod One for 2010.

Connacher Oil and Gas Limited is a Calgary-based crude oil, natural gas and bitumen exploration, development and production company. Its principal assets are its Great Divide Pod One and Algar SAGD oil sands projects in northeastern Alberta. Algar, Connacher's second 10,000 bbl/d oil sands project, is under construction and is targeted for completion in April 2010. Connacher also owns a 9,500 bbl/d heavy oil refinery in Great Falls, Montana and a 22% equity stake in Petrolifera Petroleum Limited, a crude oil and natural gas exploration and production company active in Argentina, Colombia and Peru, all in South America.