In my opinion ... it's no contest. Thermal compound is a heck of a lot better than a pad.
I prepare the heatsink by removing the pad with finger-nail polish remover (acetone) and 600 grit waterproof sandpaper. The trick is to place the sandpaper on a perfectly flat surface, and gently rub the heatsink on it with firm, straight strokes, following the "grain". Taking the pad off won't do any good if the surface is not absolutely level afterwards, as Crashman might tell you. This is why you don't rub the sandpaper on the heatsink with your hand.
As I work, I begin using progressively finer grits of sandpaper, finishing up with 1500grit. At this point, the pad is completely gone, and the heatsink has a relatively flat, smooth surface. Not completely smooth, but close.
This kills two birds with one stone. Because the surface of the heatsink has been polished, less thermal compound is needed to fill in the space between the die and the heatsink. In this situation ... less is more, if you catch my drift. A very thin coat of the compound will do a better job of helping to transfer the heat from the die than a thick coat. A heatsink that hasn't been sanded has grooves on the bottom that will cause you to use more thermal compound than necessary.
Crashman likes to sand down the surface of the die ... but I think that is overkill ... and might damage the processor. But it's your money! What a guy! <GRIN>
I've got a big sheet of Plexiglass that is perfect for the sandpaper. To make the sandpaper stick to the glass, I use a small amount of water.
When I'm done, I clean the heatsink thoroughly with alcohol to remove any grit, acetone, or oil from my hands. When it is dry, I apply the thermal compound with a razor blade to the middle of the heatsink in the shape of the die. Use only a tiny amount, and create a smooth, ripple-free area. I try to move as little as possible when settling the heatsink on the die. It's a good idea to have someone give you a hand ... one person to hold the processor very still, and another to fasten the clips. Only use enough pressure to get the clips latched ... and no more. Don't lean on the heatsink when you install it, or push down.
**Note: If you get the heatsink TOO smooth, the thermal compound won't stick. Once the thermal pad is completely gone ... stop sanding.
**Second Note: Get the finer grits of sandpaper from an auto parts store ... the kind that is used to sand primer. That will work the best.
The last heatsink I installed, on a 800MHz Duron, idles at 91 to 93F, and never goes higher than 98 to 99F, even when under a full load ... with just air-cooling. And the guy who owns it doesn't have air-conditioning ... the ambient room temp is usually in the 80's.
He sure loves how well his games play!
You gotta admit, those are pretty good temps for a Duron. My Pentium IV is running at 86.4F, right now ... I did the very same thing when I installed it.
Toejam31
<font color=purple>If there was a reason for everything, having faith would be redundant.</font color=purple>