In reading through Connacher's Q3 Report on page 21 (of39) the company's capital budget for 2010 has allocated $30 million dollars for POD 1 , "including 2 new SAGD wells, 11 high temperature ESP's and facility optimization."

It remains unclear whether or not the total number of SAGD well pairs at POD 1 will be then 19 after these 2 new wellpairs are drilled in 2010 or 17 wellpairs. Connacher provided an update on September 28th, 2009 which stated that production had resumed on 15 of POD One's 17 wellpairs so I must assume that 2 of the wellpairs are performing poorly and are going to be shut down and replaced in 2010. Unless management provides clarification on this matter I suppose we should assume that 2 underperforming wellpairs are to be replaced. On the other hand when I did a comparison on this board between Connacher & JACOS in September, http://agoracom.com/ir/Connacher/forums/discussion/topics/361352-comparison-jacos-connacher/messages/1209611#message JACOS currently has 19 wellpairs producing 8,000 bbl/day of bitumen. JACOS and Connacher's plant design appears to be very much the same with a few modifications as I recall so maybe Connacher is going to 19 wellpairs at POD 1 in 2010 to try to stabilize production at 8,000 bbl/d.

How do you interpret this 2 new wellpair expenditure for POD 1 in the 2010 capital budget?

Another question that I have is with the purchase and installation of the new high temperature ESP's, will the current 6 ESP's of the "old design" which are currently installed need to be replaced so that the reservoir can operate at a higher temperature or will the high temperature ESP's only be installed on the wells that currently do not have them installed?

Best Wishes; Scott