Comet Ridge Ltd · ASX:COI
Comet Ridge — Investor Presentation (October 2005)
22 slides from Comet Ridge's investor presentation, October 2005
Slide 1: Broker Presentation October, 2005
COMET RIDGE LIMITED Andy Lydyard Broker Presentation Managing Director October, 2005
Slide 2: Comet Ridge Limited
Comet Ridge Limited 9 Formed 2 years ago 9 Floated 18 months ago 9 Established in the Australian CSG business 9 Expanded into the US in 2005
Slide 3: Initial Strategy
Initial Strategy 9 Discover and develop large scale coal seam gas projects in eastern Australia
Slide 4: Location of Assets
Location of Assets Mahalo Mahalo Tipton TiptonWest West
Slide 5: Achievements
Achievements In the past 18 months: 9 Significant gas reserves @ Tipton West (3P > 2000PJ) 9Significant gas resource @ Mahalo (~ 990 PJ in place) 9Strategic alliance to secure drilling technology 9Strengthened balance sheet via sale of Tipton West 9Initiated US Strategy
Slide 6: Property Detail
SN Comet Ridge P mc + ___ATP 683P + Dalby (20%) l a Ban, aN = T = Dalby~ ~ a sea Cl Abb Petroleum Lease | L_| 4 ~~ as Oakey Pot PL 198 (20%) : < station “arp osap fe * | | Dalby South Ag (36.67%) : y + | ATP 683P * Millmerran (30 %) Tipton West Pilot ' ' + , AX] Millmerran Power Station ' t ' 1 p "
Slide 7: Transaction
Transaction 3$2,250,000 cash + 2m unlisted 60c options in Arrow 3$2,250,000 by 31 Dec ‘05 3Royalty payment of 1.5% up to $8 million Total Transaction Value ~ $12.8 million* * Over the life of the royalty
Slide 8: Benefits
Benefits 9 Cash on cash return on investment 9 Strengthened balance sheet 9 $5 million plus on hand to fund expanded strategy 9 Cash flow anticipated Nov ‘06 at no capital risk 9 Near term capital raising avoided 9 Company now in control of its destiny
Slide 9: Expanded Strategy
Expanded Strategy 9 Large scale coal seam gas projects 9 Low risk, close in exploration and rejuvenation of mature oil and gas fields utilizing under-balanced directional drilling technology
Slide 10: Mahalo Project
Mahalo Project 9Core Project 9Earning 40% 9Gas Resource ~ 1 TCF 93 wells December ‘05 9Flow test inferred gas cap
Slide 11: Phase 2 Drilling
ma Comet Ridge Lowesby 1 Sunlight 1 x Mahal Humboldt Co Project Area —— Gas pipeline Creek 14 Petroleum Wells /\/\y Edge of Permian Dry hole, Gas Show Coal Hole _-250~ Depth metres sub sea Comet Ridge i, Cons: Holes Structural High Proposed @ Gasfield Core Holes Pollux Seam Top Bandanna Formation
Slide 12: What the US Offers
What the US Offers 9 Premium energy market 9 Broad spectrum of opportunities 9 Short time from discovery to cash flow 9 Increased opportunity to apply competitive advantage On the ground experience & drilling technology
Slide 13: Strategic Alliance
Strategic Alliance • Directional & under-balanced drilling technology
Slide 14: US Targets
US Targets 9Overlooked coal seam gas opportunities 9Opportunities to apply directional drilling technology developed in Australia – Lower permeability, high gas content coals – Fractured reservoirs – Mature oil and gas fields
Slide 15: JV Areas
SN Comet Ridge KILOMETRES 1000 Canada
Slide 16: Tow Creek
SN Comet Ridge cy i : . | rn ~a/ Mountains J m@ x cOLoRADO \ iK Ss Lg “A » SS Mt. Elbert = Pikes Pk+ —e i ; Gunnison — | — i ! \ River __ F&F t \ i? aa SS NSE > a i i) rer. 7 o | sand 3050 ge 4 ee ; | ~~~ 2000] | 610 S 1000 | 305 ‘pio 500 ja} 153, O25 Som | : Grande Level 9 55 50 km iL OAEAPS coe 10
Slide 17: Tow Creek
Tow Creek Recent 150 BOPD Well Slippery Sides Field Hidden Valley Field N. Tow Creek Field Tow Creek Field Bear Creek Field Grassy Creek Field
Slide 18: Cedar Creek
Cedar Creek Cedar CedarCreek CreekArea Area Coal CoalSeam Seam++Conventional ConventionalGas Gas
Slide 19: Portfolio
Portfolio GAS - ? OIL – Tow Creek CSG – Mahalo, Cedar Creek
Slide 20: Planned Activity
INN Comet Ridge 2005 2006 Q3 Q4 Q1 Q2 Q3 Q4 Tipton $ $ $= Mahalo AAA A NSW 4 A A A sis Roe Ts ey |e | A | A | A Cedarck| g gq A
Slide 21: Capital Structure
Capital Structure ASX code: COI Issued shares: 61.2m shares Issued options: 6.4m 3yr 20¢ options Market cap: $10 million Cash: $ 5 million* Top 20: 52% Shareholders: 486 *Proforma
Slide 22: Disclaimer
Disclaimer Comet Ridge Limited has taken all reasonable care in producing the text and images contained on 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