Comet Ridge Ltd · ASX:COI
Comet Ridge — Excellence in Upstream Energy Conference 2007
27 slides from Comet Ridge's conference presentation, May 21, 2007
Slide 1: ASX cover letter: Excellence in Upstream Energy Conference Presentation
m~ Comet Ridge The Company Announcements Officer Australian Stock Exchange Limited Exchange Centre 20 Bridge Street SYDNEY NSW 2000 By Electronic Lodgement Date: 21 May 2007 Re: Excellence in Upstream Energy Conference Presentation Please find enclosed a copy of a presentation to be given on 22 May
Slide 2: Comet Ridge Limited
Slide 3: Comet Ridge Limited (COI) overview and capital structure
& Comet Ridge Limited (COI) ® ASX Listed: April 2004 ® Oil and gas explorer/developer © & Management in Denver, CO (Dec 05) transitioning to producer ® Major shareholder: Strike Oil (8.4%) ®& Projects in Australia & USA << Capital Structure* oso 52-week range: AUSO.24 to $0.44——f 2 / 0.35 Shares on
Slide 4: Targeting oil & gas and coal seam gas
Targeting... » O& Gas » Coal Seam Gas stays Harbor @ Coal seam gas IN Comet Ridge 3 Excellence in Upstrearn Energy — May 07
Slide 5: Strong energy markets, extensive infrastructure and attractive margins
3 Strong energy markets, extensive infrastructure and attractive margins % Plethora of prolific oil and gas provinces = broad and diverse opportunity base ® “On the ground” experience & proven track record ® Access to prospective lands and first mover advantage prevails Natural Gas Spot Henry Hub $9
Slide 6: Objectives
Objectives Generate significant shareholder returns via: 8 Finding and producing incremental oil and gas in mature fields using new technology ® Finding and producing oil and gas in proven but overlooked areas IN cers Comet Ridge ASX Code: COL Excellence in Upstream Energy - May 07 5
Slide 7: Strategy
Strategy Seismic.+ 3 wells Technology Vader/ 40% 4 wells . Explore in proven / | but overlooked basins Meaningful interests in large acreage positions Mahalo 40% : TBD.” Capital Ec EEA Galilee Basin 100%* - -. Native Tile . : Technical Studies *Pre-farmin interests - activity funded by others ? mses
Slide 8: Comet Ridge operates all but one of the US projects
Operator: : Comet Ridge operates all but one of the US projects stnic pr Portfolio offers significant upside opportunities Share price leverage i i i a i i ET, IN Comet Ridge - ASX Code: COl Excellence in Upstream ergy - May OF
Slide 9: Experienced board and proven management
EX P E RI E N C E ! Andy Lydyard Managing Director 26 years : Simon Ashton Non Exec. Director. 30+. years Aust Board owns 12% of stock a iden & CEO cou wane . VP Operations . 40 years . UsA . P ROVE N MANAGEMENT : Art Stewart Manager Operations 30 years USA Vanessa Lintz Geologist 6 years USA All em
Slide 10: Project Summary
Project Summa 100% wa St Helens Energy LLC Comet Ridge USA, Inc. é|| Pacific NW Rockies Australia | Vader/Cedar Ck| | Grays Harbor} | Bear River: || Tow Creek Florence * | 40%* 100% : 33.75% «4 | 37.5% » 39% Coal Seam Gas Oil & Gas Oil & Conv Gas Coal Seam Gas & Conv. Gas pr erecnesnSEa DUNENSLSNIAE
Slide 11: Potential value per share by project
140 BCF (23.3 MMBOE) i : 100 BCF (16.7 MMBOE) Potential value/share US$1.29 US$0.60 US$0.18 US$0.12 Revenues and costs un-escalated AUS/share and US$/share calculated with 104 million shares More complete data shown in Appendix 1 IN Comet Ridge Rn SE SST OT TLD IOS BOER ASX Code: COL Excellence in U
Slide 12: Proven but overlooked basin
8 Proven but overlooked basin @ Conventional oil & gas & Washington State, Pacific NW USA @ 438,000 acres under lease or option @ 100% interest and operator ®@ Lightly explored, proven basin @ Multiple reservoir targets @ Excellent year round access IN Comet Ridge FS SST TOTNES ILLES st ea ASX Code:
Slide 13: Drillable prospect with by-passed pay
1 drillable prospect with by- passed pay 100+ BCF (P50) 38 leads - 15 to 100 BCF (P50) 42 wells - 7 deeper than 3,000ft 2 wells on seismic - one is a potential discovery Unrisked In Place Gas ® Strong oil and gas indications Resource Potential ® Pipeline infrastructure in place & Gas market identifi
Slide 14: Coal seam gas, Washington State
& Coal seam gas Washington State, Pacific NW USA 156,000 gross/62,400 net acres 40% interest (Cascadia Energy) Proven but overlooked basin Drilling commenced at Vader Exploration well on Cedar Creek in June Program aimed at establishing a significant gas resource in shallow coals and sands close to
Slide 15: Gas trapped in shallow coals and sands
Gas trapped in shallow coals and sands MX qtr enn SS ANTE NASA . Comet Ridge ASX Code: COL Excellence in Upstrearn Energy - May 07
Slide 16: Oil in fractured shale reservoirs, Rockies
LALLA SST OTL TERS BCC ASX Code: COl Excellence in Upstream Ei rgy - May OF Oil in fractured shale reservoirs The Rockies, USA Mature oil field redevelopment Large known oil field — Tow Creek 200 MMBO in place* Recovered 6 MMBO (3%) 16,000 acres leased Operator — Tow Creek (37.5% interest) — Bear Ri
Slide 17: Well proof of concept program
Peitier.11-12 (Testing cil) . ASX Code: COL 3 Well “Proof of Concept” Program IE Excellence in Upstream Ene rgy - May 07 CVU 3 Sidetrack and complete Strong oil shows
Slide 18: Oil in fractured shales, Central Colorado
Oil in fractured shales Central Colorado, USA 7,500 acres under lease Operator with 39% Mature oil field redevelopment 8 sq mi 3D seismic program in 2007 3 wells later in the year Multiple objectives — Deeper zones very lightly drilled — Shallow zones — vertical wells G © & & & © © &@ IN ——— Comet R
Slide 19: Field discovered 1862
® Field discovered 1862 @ 15 MMBO produced from shallow fractured shales ® Field largely abandoned Deeper potential virtually untested Royal Gorge 1 producing 100 BOPD — 72,000 barrels in 2 years ® Mountain Petroleum well targeting 100 to 200 BCF gas + 15 MMBO & Seismic acquisition to commence immed
Slide 20: Coal seam gas, Northern ATP 337P, Queensland
‘ouux Seam Top Bandanna Pormation| 2 RR FE SST 0 TT OT EN IOI LEO ASX Code: COl Excellence in Upstrearn Ei ray - May OF © eC € & & Coal seam gas Northern ATP 337P, Qld, Australia Significant contingent gas resource (180 — 990 BCF) 40% non operated Interest 260,000 acres Partners are Santos and Origi
Slide 21: Galilee Basin technical studies farmed out; 2007 activity schedule
Galilee Basin .- Technical Studies Farmed.out Florence Seismic +.3 wells Vader/Cedar Creek Note: Timing of all aclivities subject to aquipment availability, weather conditions, joint 10 to 12 wells plus seismic to support 07/08 program We venture and regulatory . . . . i RK. approvals Capital requir
Slide 22: Funding: current cash, partners, placement, asset sale
® Current cash — Cash on hand US$3.0 million ® Industry partners — Farm-outs ® Limited placement — Opportunity for shareholders — Opportunity to access US capital # Potential asset sale — Tipton West royalty ASX Code: COl Excellence in Upstream = srgy - May 07 we Comet Ridge —
Slide 23: Strong portfolio of eight US and Australian projects
® Strong portfolio of eight US and Australian projects ® Exposure to conventional oil and gas and coal seam gas ® Material interests and operator of most US projects ® Experienced board and proven US based management team ® High activity level in 2007 - 10 to 12 wells planned ®& Significant upside p
Slide 24: Contacts
Contacts aS Comet Ridge SI . se ASX Code: COl Excellence in Upstrearn Energy — May 07
Slide 25: Oil & Gas Terminology
ASX Code: COF Oil & Gas Terminology: Crude Oil & © & © © & & BBLS — Barrels of Oil BOE — Barrels of Oil Equivalent (1 BOE= 6MCF gas) BOPD — Barrels of Oil per Day MBBLS — Thousand Barrels of Oil MBOE -— Thousand Barrels of Oil Equivalent MMBBLS - Million Barrels of Oil MMBOE — Million Barrels of Oil
Slide 26: Appendix 1: Economics
Appendix 1: Econe Grays Harbor Vader/ Tow Creek/ FI ae Cedar Creek Bear River Modeled Reserve (Gross) .....- 100 BCF 140 BCF. 3.3 MMBBLS. 1.5 MMBBLS {25.3 MMBOE) - ~ (16.7 MMBOE) oe eee Initial Rate 5 MMCFD/well 200 ‘MCFD /well 450. BOPD. 100 BOPD Cost per well $2.9MM $245,000 ~ $2.2 million $600,00
Slide 27: Disclaimer
Disclaime Comet Ridge Limited has taken all reasonable care in producing the text and images contained in this presentation but does not warrant that the information contained herein is accurate or up to date. The information on these slides is based on publicly available information, internal data
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