UPDATE

Actually, I checked the picture more closely by enlarging it. I believe the words on the left post (above the word Alberta) reads Kicking Horse Pass.

The picture shows the road through the Kicking Horse Pass before it officially became Highway # 1 between Alberta & British Columbia. The road followed the same route as the Canadian Pacific Railway which was completed in 1885.

See the following site for a little background.

http://www.th.gov.bc.ca/kickinghorse/khc_project_background.htm

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Hi Folks,

I trust everyone realizes that the picture of the Great Divide is from one of the passes between Alberta and British Columbia (Rogers Pass or Crowsnest Pass). Note the large mountains in the picture - Last time I checked there aren't any mountains near our CLL operations.

The term "Great Divide" has been used for a long time to refer to height of land that seperates water flowing to the Pacific Ocean from water flowing to the Artic or the Atlantic oceans.

I liked the picture - very historic.

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Hi Scott,

It seems Connacher tries never to use the same factors in their releases in order to make comparisons or interpretation difficult.

My interpretation is that production is limited by steam production capacity.

I am assuming that the 27,000 bbl/d "nameplate steam generating capacity mentioned in the latest release is just another way of expressing the "Steam Generation capacity of ~ 440,000 lbs/hr @ 1000psi" found in the Project Technical Summary.

In layman's terms, I believe that current maximum production is limited because it currently takes more steam to produce a barrel of bitumin than planned. As a result, unless means can be found to lower the amount of steam needed, (downhole pumps, 100 % capacity steam production, fewer/shorter planned shutdowns, better quality output etc), Pod1 will never produce at the planned 10,000 bbl/d capacity. In 2010 for instance, the company is aiming for an average SOR (Steam/Oil Ratio) of 3.2. This translates into 8500 bbl/d (27,000/3.2 =8437.5) of production from Pod1. Note that this is their target. If steam production falters, or other problems arise, it will not be possible to meet this target.

Of course it is possible that additional pumps and other factors may combine to improve output which would result in surpassing the target of 8500 bbl/d. So far, past results show that Connacher has failed to achieve the original plan. SAGD is still a new process and future results might be better as unexpected problems are overcome.

Let's keep our fingers crossed.

IMHO

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Krissy - Time to give it a rest!

Insulting comments are the last resort of those who lack any valid arguments.

Spidey was absolutely correct in challenging your math. Your reponse was childish.

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PS - no reponse required. I'm not interested in your level of debate

This is Dick's last chance to be remembered. He is almost 70 years old.

I am in the same age bracket - waiting for a few years for a better time ot invest is not an option.

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I agree with Dan,

Let's see if we can generate some discussion on at least a couple of other issues, while we wait for the Oil Sands opportunities to turn around.

I would like to hear opinions on where the Canadian vs US dollar is heading over the next year or two. At first glance, I would have expected the US dollar to fall as the US government bails out everyone(inflationary) . On the other hand ,the rapid de-celeration in the economy should result in the opposite (deflationary) effect.

I am also unsure about where the market is headed. I am a believer in the theory that we will continue to see wider and more rapid changes in the direction of the market in the future. The instantaneous availability of information via the internet is a factor. Rather than another leg down, as mentioned by Dan, I am considering the possibility that investors will skip this leg and go straight into a new bull market as they anticipate recovery of world markets.

Let's hear some opinions from those who can analize these issues in more depth

Cheers,

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