Connacher Reports February 2011 Great Divide and Corporate Production; Announces Participation in the "CIBC 2011 Energy & Infrastructure Conference" and Resignation of Officer

CALGARY, April 7 /CNW/ - Connacher Oil and Gas Limited (TSX: CLL) announced today that during the month of February 2011, bitumen production from its Great Divide steam assisted gravity drainage ("SAGD") oil sands projects, Pod One and Algar, averaged 14,050 bbl/d, the highest level of monthly bitumen production results achieved to date.  This represents a considerable improvement from January's constrained production levels of 11,832 bbl/d.  Bitumen production at Pod One was held back by Connacher during January 2011 and during the first week of February 2011 due to the combined impact of third party pipeline restrictions and severe winter weather.  Bitumen production at Algar was also temporarily scaled back during this period to facilitate the planned installation of downhole pumps in three wells. Production volumes are as reported to the provincial regulators. Reported average production levels may not be reflective of sustainable production rates and future production rates may differ materially from the production rates reflected in this press release due to, among other factors, difficulties or interruptions encountered during the production of bitumen.

Including conventional operations, Connacher's upstream production was 13,820 boe/d in January 2011 and 15,558 boe/d in February 2011.  Conventional operations included production from the company's Battrum, Saskatchewan crude oil properties, until their disposition effective February 15, 2011 and initial light gravity crude oil production from the company's first horizontal well at Three Hills/Twining, Alberta.   All references to barrels of oil equivalent ("boe") are calculated on the basis of 6 mcf:1 bbl.  This conversion is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.  Boes may be misleading, particularly if used in isolation.

Crude charged at the company's refinery in Great Falls, Montana averaged 9,088 bbl/d in January 2011 and 9,689 bbl/d in February 2011.

Connacher also announced today it will be presenting at the CIBC 2011 Energy & Infrastructure Conference ("Conference") on Tuesday, April 12, 2011 in Toronto, Ontario. Presenting at the Conference at 10:35 AM EDT will be Mr. Peter Sametz, President and Chief Operating Officer and Mr. Grant Ukrainetz, Vice President, Corporate Development. The presentation for this event is derived from the updated corporate presentation that is posted on the Connacher Oil and Gas Limited website at www.connacheroil.com. Further meetings with key institutional investors are also planned subsequent to the Conference.

Connacher also wishes to advise that Mr. Cameron Todd, Senior Vice President, Operations, has resigned to pursue his career as the Chief Executive Officer with a private company. Related responsibilities will be assumed by other company executives on a temporary basis, until reassigned. We thank Mr. Todd for his contribution to Connacher during the past five years.

Connacher Oil and Gas Limited is a Calgary-based exploration, development and production company active in the production and sale of bitumen, crude oil, natural gas and natural gas liquids. Our principal assets are our SAGD oil sands projects and holdings at Great Divide in northern Alberta.  We also hold conventional light gravity crude oil and natural gas properties in Alberta.  A wholly-owned subsidiary operates a 9,500 bbl/d heavy crude oil refinery in Great Falls, Montana.

 


SOURCE Connacher Oil and Gas Limited

For further information:

Richard A. Gusella
Chairman and Chief Executive Officer

OR

Peter D. Sametz
President and Chief Operating Officer

OR

Grant D. Ukrainetz
Vice President, Corporate Development

Phone:  (403) 538-6201
inquiries@connacheroil.com  
Fax:  (403) 538-6225
Website:  connacheroil.com

 


FORFAITS PERSONNALISÉS

Jetez un coup d’œil sur nos forfaits personnalisés ou créez le vôtre selon vos besoins de communication particuliers.

Commencez dès aujourd'hui .

ADHÉSION À CNW

Remplissez un formulaire d'adhésion à CNW ou communiquez avec nous au 1-877-269-7890.

RENSEIGNEZ-VOUS SUR LES SERVICES DE CNW

Demandez plus d'informations sur les produits et services de CNW ou communiquez avec nous au 1‑877-269-7890.