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Connacher is a growing exploration, development and production company with a focus on producing bitumen and expanding its in-situ oil sands projects located near Fort McMurray, Alberta

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Message: Bitumen Royalties & Project Payout - Part 2

Thanks Dootin for digging up the detailed information.

I had a read through it and it confirms (at least in my mind) that both capital (Bitumen production on pages L-3 & L-4, and Construction on pages L-6 & L-7 for 2 examples) and operating costs (Diluent on page L-8, Fuel Costs (NG) on page L-12, and Labour on page L1-4 for 3 examples) are included in the the definition of allowable costs. Based on this I still stand by my opinion that the payout date is at least 3 - 4 years away - at present oil pirces.

Anyways at some point management will advise of the potential payout date and we'll all be the wiser. If it was imminent (IE 2010 or 2011) I expect it would be noted in some press release as it is a significant event for investors to consider.

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