Connacher Oil & Gas Ltd CLLZF

RE: the results are great !

[yitearp]

   
Results are great, are they.  Let's see, they've been trying for something like 4 yrs to get production at Pod1 to 10K boed and here we are at 8K, what's great about that.  The only great thing about this company is its debt level and share float.  CLL is also good at disappointing shareholders and coming up with excuses to explain production or revenue shortfall.  Here's a list of excuses over the years from the top of my head:
1. power outage
2. ESP's wear out quickly
3. pipeline issues preventing market delivery
4. oil price too low, need to curtail production at Pod1 and delay Algar
5. shutdown for maintenance purposes (this is a favorite of theirs, they alternate between scheduled and not scheduled maintenance so this counts as two excuses)
6. high spread bewteen bitumen and WTI prices
7. I'm surprised they haven't used this one: out of our control, oil is only at $100, we need oil at $200 to make money


CLL is also good at not keeping their word: Algar is fully funded no need for a share offering, yeah right!  The market doesn't trust anything coming from CLL management and rightly so.  In summary: massive debt + massive float + poor management + low production= $1.36/share ten years later.