Connacher Oil & Gas Ltd CLLZF

RE: RE: Market going long today??/wellsitte

[Wellsitter]

Perhaps you are right. I'm not an accountant but I have run a few sets of books and I'm not aware of how a company can book revenues and expenses without accounting for them on their balance sheet. Perhaps you can explain that for me.

As for my calculations, I simply took their financials from the previous quarter and extrapolated what I believe will be the new numbers. I included a $10mm change in the net position (book it as increased revenue or decreased expenses, the result is the same) and came to a $13mm loss for the quarter which relates to the
.03/share prediction.

I did assume a further nominal reduction in forex loss but it really didn't effect the bottom line substantially.

Finally, you said to not get excited about revenue or earnings in the jr. E&P sector, asserting that the only thing that counts is cash-flow and debt serviceability?

Where is the cash-flow and debt serviceability without revenue & earnings? They are inextricably intertwined in my view as without revenue there is no cash flow and without earnings no debt service (without dilution). Ultimately, it is revenue and earnings which provide the tools with which the Jr will graduate to Intermediate. I believe that CLL is nearing graduation day.