The New Alberta Oil Sands Plan has some things in it which will perhaps benefit Connacher.

-"diversify and market Alberta oil-sands products abroad

-speed up transportation and utility development plans for both oil sands operations and bitumen upgraders

-create incentives for “technology acquisition, development, and implementation related to oil sands extraction and processing”

-grow a market for Alberta bitumen using bitumen “royalty-in-kind” transactions, and create a government-led organization to manage those transactions."

1) Alberta needs to market Alberta oil-sands products abroad and part of this would be to encourage the building of a trans provincial pipeline to the Port of Prince Rupert to ship sythetic oil from the oilsands to Asia. This would enable the upgraders and pipeline companies that Connacher sells it dilbit to at present to have access to foreign markets to lead to better pricing for bitumen.

2) By speeding up the utility development plans for both oil sands operations and bitumen upgraders this could hopefully lead to shorter time for government approval for Connacher's 30,000 barrel expansion plans for the EIA. In addition, it would hopefully lead more quickly to building more upgraders in Alberta hungry for Connacher's dilbit.

3) By creating incentives for technology acquisition, development and implementation perhaps this would encourge quicker development of new technologies for extracting Connacher's bitumen more cheaply than solely burning natural gas as it is doing at present. Perhaps new technologies can be develped quicker for a shared provincial standard of usage among those using the SAGD process ...ex... Encana is experimenting with SAP or solvent assisted process by spraying butane as a solvent in the underground chamber to lower their SOR as well as another process Encana is using such as pumping CO2 emissions from the turbines burning the natural gas in the SAGD process back into the underground chamber to heat it up instead of just raw steam. This way you get rid of CO2 emissions as well as heating the underground chamber. If these processes are standardized and used through out Alberta with no licensing fees involved it will benefit all SAGD operators. We know that Connacher cannot continue to burn natural gas indefinately as this accounts for 50% of Connachers production costs at present. Perhaps burning bitumen and pumping the CO2 emissions back underground is the future for Connacher.

4) By growing a market for Alberta bitumen using bitumen “royalty-in-kind” transactions this would enable Connacher to pay its Royalty fee with bitumen produced instead of cash which would be less costly to Connacher in the long run.

These are the concrete benefits to Connacher that I can see from the 20 point oi-sands plan released today.

Respectfully; Scott