Main difference between cash flow and the earnings is that the cash flow comes from the operating revenue (selling actual product like bitumen or Natural gas).
Earnings are the ABC of the creative accounting. You ask about Q3 earnings ($58 million). If you look behind the earnings headlines you will find that CLL added over $60 million of Non-Cash items, just for the accounting purposes. If you subtract the non-cash items (like most annalist do) Q3 earnings were negative.
Anyway, the earnings are the last thing to get exited about. All Oilsand plays are traded on the risk adjusted NAVPS. Risk factor involve the management ability to manage the cash flow and the debt to cash flow ratio. As of now CLL cash flow cannot service the interest on debt. The only hope is the Algar`s successful production.
