spotlight on asx conference · ** resource booking conducted 2010 and will be updated during 2013....

www.cometridge.com.au ASX Code : COI

www.cometridge.com.au

Spotlight on ASX Conference 14 May 2013, Hong Kong

16 May 2013, Singapore


Contents

2

Comet Ridge Limited (COI)

Gas Market

COI Australian Assets


Section 1:

3

Comet Ridge Limited (COI)


Company Snapshot

4

Upstream energy company

focusing on exploration and

appraisal of CSG from its

Queensland and Northern NSW

assets

Exposure to significant upside in

basins where there is increasing

demand for gas, significant new

markets and prices moving upwards

ASX listed and based in Brisbane

Operational focus - developing gas

reserves in a tightening east

Australian gas market

Comet Ridge also holds petroleum assets in New

Zealand and 12% of a business based in Denver

focused on exploration targets in the Rockies


Comet Ridge – Corporate Overview

5

Capital structure (ASX:COI)

Share price (as at 8 May 13) $0.21

Shares on issue 406.5m

Market capitalisation1 $85.4m

Cash (as at 31-Mar-13) $6.5m

Enterprise value1 $78.9m

1. Excludes 2.5m unlisted options and 3.9m performance rights

Source: IRESS

12 month trading history


James McKay

Non-Exec Chairman

• 25 years in business (commerce/law background)

• Former Chairman, Sunshine Gas

Tor McCaul

Managing Director

• Petroleum engineer with 25 years in upstream and

downstream oil & gas

Tony Gilby

Non-Exec Director

• Geologist with 30 years in oil & gas

• Former Managing Director, Sunshine Gas

Chris Pieters

Non-Exec Director

• Geologist with 10 years in oil & gas

• Former Chief Commercial Officer, Sunshine Gas

Jeff Schneider

Non-Exec Director

• Commercial background with 35 years in oil & gas

• Former Director (Gas) at Woodside

Gillian Swaby

Non-Exec Director

• 30 years in finance & resources

• Former Chair of WA Council of Chartered Sec.

Comet Ridge – Corporate Overview

Board

6


Comet Ridge Limited

7

Large resource and

equity positions

Multi-basin exposure

Significant 3C

Resource base

Domestic and export

market opportunities

Tightening east

Australian gas market

Board and

management team

combines technical and

commercial; CSG and

conventional; upstream

and downstream

(including LNG)

capability

Combines tenure with

majors and successful

independents

Strategic CSG assets Experienced team

Focus on reserve certification

First Mahalo pilot scheme now operating, second on-line next several weeks

Targeting first 2P Reserves 2013

Advancing appraisal at other projects


Significant independent Resource bookings in four areas

Outside of the Gladstone LNG projects, Comet Ridge estimates it holds ~20% of the

CSG resources

Net Gas Resources

8

Comet Ridge Limited – Net Recoverable Resources

* Where the auditor has detailed Prospective Resources in a range, the mid-range case has been listed in the table

** Resource booking conducted 2010 and will be updated during 2013.

*** Current interest – announced 2012 that Comet Ridge Limited is acquiring a further 25% interest in PEL 427, 20% in PEL 428 and 22.5% in

PEL 6, subject to NSW Government and JV approvals. Following the completion of this transaction, Comet Ridge Limited net resources in

NSW will increase to 474 PJ (Contingent) and 2101 PJ (Prospective), totalling in excess of 5400 PJ eastern Australia gas resources.

Location Project COI

Interest

Contingent

Resource (2C)

(PJ)

Contingent

Resource (3C)

(PJ)

Prospective

Resource

(PJ)

Galilee Basin,

QLD

Gunn Project Area (ATP 744P) 100% 67 1,870 597*

Bowen Basin,

QLD

Mahalo Block (ATP 337P) ** 35% 193 387 -

Gunnedah

Basin, NSW

PEL 427 and PEL 428 *** 25% &

40%

- 231 1,022

West Coast,

NZ

PMP 50100 and PEP 50279 100% - 244 -

Total 260 2,732 1,619


Key Achievements - Past 12 Months

9

MAHALO GALILEE GUNNEDAH

Pilot drilling at

Mahalo and Mira

Constructed two

pilot schemes,

Mahalo now

operating

JV with Santos,

APLNG and

Stanwell

3 well appraisal

drilling programme

Successful Gunn-2

extended production

test

Phase 1 ATP 1015

farm-in drilling

programme extends

Gunn Project Area

Progressively

increasing equity in

Gunnedah blocks to

material position

JV with Santos


2013 Work Programme

10

Q1 (Jan-Mar) Q2 (Apr-Jun) Q3 (Jul-Sep) Q4 (Oct-Dec)

PRODUCTION TESTING PROGRAMME

MA

HA

LO

Non-operated

Mahalo pilot

Mira pilot

GA

LIL

EE

100%,

operated

Gunn-2

EPT

CORE HOLE PROGRAMME

MA

HA

LO

Non-operated

Step-out

core wells

GA

LIL

EE

Farm-in Area,

operated

Stage 2

Farm-in wells

SEISMIC PROGRAMME

NS

W

CSG non-

operated

Construction /

Commissioning Testing

Construction /

Commissioning

Testing

Testing

Drilling

Drilling

Scouting Seismic

acquisition

Testing

www.cometridge.com.au ASX Code : COI 11

Section 2:

Gas Market


Gas Market Demand

12

Queensland gas market is

now dominated by LNG

exports

4 large LNG consortia

control almost 90% of 2P

CSG reserves in E. Aust

Increasing pressure on

domestic gas supply and

pricing

Intensifying competition for

uncommitted gas reserves

Qld domestic gas demand and projected

gas demand for LNG exports

CSG 2P Reserves,

February 2013 LNG proponents

AGL

Other

88%

5% 7%

Source: RLMS

Source: 2012 Gas Market Review Queensland


Gas Market Demand (continued)

13

Domestic customers report

an inability to contract gas

LNG proponents seeking to

contract gas for train

expansions

Qld Gas Market Advisor

forecasts a domestic

supply constraint 2015-

2020 if supply situation does

not improve

NSW gas market expected

to tighten further leaving

+1m gas customers

substantially undersupplied

Australian gas consumer Brickworks switches

fuels as supply crunch looms.....

…..Brickworks is planning to take at least four of

its plants in NSW and Queensland off gas in the

next 6 months….

” “

Platts, 10 April 2013

We’re heading towards a gas crisis.

” “ Chris Hartcher, NSW Minister for Resources and

Energy, ABC Newcastle, 22 August 2012

Whichever way you look at it the east Australian gas

story is a coal seam gas story.

You can clearly see the perfect storm that is heading

the way of east coast gas customers.

” “

Michael Fraser, Managing Director & CEO AGL Energy

at the Australian Domestic Gas Outlook Conference 2013,

Sydney, 10 April 2013


” “

” “

” “

Historically, east Australia has had some

of the cheapest gas in the world

East Australian gas prices have

increased substantially and forecast to

continue to move up

Gas Pricing

East Coast gas producers are now talking

publicly of prices of up to $8/GJ (Origin

and AGL) and up to $9/GJ (Santos)

……Draft Energy White Paper,

Submission by the DomGas Alliance

(16 March 2012)

Santos Managing Director David Knox,

said gas deals were already being signed

at the "higher end" of a $6-$9 a gigajoule

range, up from current prices of $3 to

$4…

…consumers are being asked to pay

around A$9/GJ for gas delivered up to

2016…

….Platts, 10 April 2013

Range of Qld long-term ex-field gas

contract price outcomes ($/GJ)

Source: 2012 Gas Market Review Queensland

….The Australian, 23 February 2013

14

www.cometridge.com.au ASX Code : COI 15

Section 3:

COI Australian Assets


Mahalo Project – Background

16

Located in the northern

Denison Trough, 250km

west of Gladstone

Close to infrastructure

linking to Gladstone

JV partners APLNG and

Santos participate in two

of the Gladstone LNG

projects

Operational focus now on

running two pilot

schemes with the aim of

proving initial 2P reserves

in 2013


Mahalo and Mira pilot wells drilled

July 2012 and January 2013

Construction of Mahalo and Mira

pilot schemes during first half

2013 comprising:

Downhole pumps and tubing

Separators

Flow lines

Water storage tanks

Gas flare

Mahalo pilot scheme on-line from

late April and producing gas

Mira pilot scheme due on-line

next several weeks

Mahalo Project (ATP 337P), Bowen Basin

17

ATP 337P (COI 35%, Stanwell 5%, APLNG 30%, Santos 30%)


Sale to Stanwell Corporation

of COI interest in ATP 337P

Mahalo:

5% interest for $7

million;

Stanwell funding up to

$8 million of drilling

programme and pilot

facilities

Stanwell option to pay

$1M per PJ of 2P

reserves booked (to buy-

out COI completely)

Mahalo Contingent

Resource net to COI: 387 PJ

of 3C and 193 PJ of 2C *

ATP 337P Mahalo Agreement with Stanwell

18

* Resource booking conducted 2010 and will be updated during 2013.


Large area (~250,000km2)

covering a big part of central

western Queensland

Overlain by Eromanga Basin

and underlain by Drummond

Basin

Land use is grazing – cattle and

sheep

Oil recoveries and conventional

gas flows over a number of

years

One working pilot in the basin

Permian Betts Creek Beds

Up to 6 seams

Total thickness up to 24m net coal

Significant coal mine province

evolving in the shallow coals in

the east

Galilee Basin – Background

19


100% interest in 13,000

km2 plus up to 75% interest

in Farm-in Area (825 km2),

operated by COI

5 initial wells (2010) and

2D Seismic acquisition

programme (2011)

1,870 PJ of 3C Contingent

Resource and considerable

untested upside

3 well programme (2012)

Gunn 2 extended production

test 1Q 2013

2 farm-in wells

Galilee Basin – Greater Gunn Project Area

Gunn Project Area 3C Gas Resources are material in size (1,870 PJ) and 100% COI

20

ATP 743P, ATP 744P and Galilee Farm-in


Different market segments

emerging for commercial

development: coal, power, LNG

Development option 1: Power for

coal mines / local generation

Development option 2: Gas

supply to LNG projects at

Gladstone

Development option 3: Domestic

gas supply via Barcaldine

Galilee Basin – Commercial Options

21

Galilee Basin market

opportunities


Large area covering central

northern NSW

Overlain by Surat Basin in north

Land use is grazing, forestry and

cropping

Oil recoveries and conventional

gas flows over a number of

years

Several working pilots in the

basin

Permian Blackjack and Maules

Creek

Multiple seams

Total thickness up to 45m net coal

Gunnedah Basin – Background

22


Significant investment has

been made in the basin (ESG,

Santos, EnergyAustralia) and

material reserves delineated

NSW Government policy has

recently curtailed exploration

in NSW within two km of

townships

Minimal impact on Gunnedah

Basin positioning it for

prioritised development to

supply gas shortfall

Comet Ridge has 18,000 km2

under licence across PEL 428

(60%), PEL 427 (50%) and

PEL 6 (22.5%) *

Gunnedah Basin – Regional Activity

23

Gunnedah Basin permits and infrastructure

*Subject to NSW Government and JV approvals

of Petrel acquisition.


Disclaimer

This presentation (Presentation) has been prepared by Comet Ridge Limited (ABN 47 106 092 577) (Comet Ridge). The Presentation and information contained in it is being provided to shareholders and investors for information purposes only. Shareholders and investors should undertake their own evaluation of this information and otherwise contact their professional advisers in the event they wish to buy or sell shares. To the extent the information contains any projections, Comet Ridge has provided these projections based upon the information that has been provided to Comet Ridge. None of Comet Ridge or its directors, officers or employees make any representations (express or implied) as to the accuracy or otherwise of any information or opinions in the Presentation and (to the maximum extent permitted by law) no liability or responsibility is accepted by such persons.

Summary information

This Presentation contains summary information about Comet Ridge and its subsidiaries and their activities current as at the date of this Presentation. The information in this Presentation is of general background and does not purport to be complete. It should be read in conjunction with Comet Ridge’s other periodic and continuous disclosure announcements lodged with the Australian Securities Exchange (ASX), which are available at www.asx.com.au.

ASX Releases

Investors are advised that by their nature as visual aids, presentations provide information in a summary form. The key information on detailed Resource statements can be found in Comet Ridge’s ASX releases. Resource statements are provided to comply with ASX guidelines but investors are urged to read supporting information in full on the website.

Past performance

Past performance information given in this Presentation is given for illustrative purposes only and should not be relied upon as (and is not) an indication of future performance.

Future performance

This Presentation contains certain “forward-looking statements”. Forward looking words such as, “expect”, “should”, “could ”, “may”, “plan”, “will”, “forecast”, “estimate”, “target” and other similar expressions are intended to identify forward-looking statements within the meaning of securities laws of applicable jurisdictions. Indications of, and guidance on, future earnings and financial position and performance are also forward-looking statements. Forward-looking statements, opinions and estimates provided in this Presentation are based on assumptions and contingencies which are subject to change without notice, as are statements about market and industry trends, which are based on interpretations of current market conditions. Such forward-looking statements, opinions and estimates are not guarantees of future performance.

Forward-looking statements including projections, guidance on future earnings and estimates are provided as a general guide only and should not be relied upon as an indication or guarantee of future performance. This presentation contains such statements that are subject to known and unknown risks and uncertainties and other factors, many of which are beyond the control of Comet Ridge, and may involve significant elements of subjective judgement and assumptions as to future events which may or may not be correct. It is believed that the expectations reflected in these statements are reasonable, but they may be affected by a range of variables which could cause actual results or trends to differ materially, including but not limited to: price fluctuations, actual demand, currency fluctuations, drilling and production results, reserve estimates, loss of market, industry competition, environmental risks, physical risks, legislative, fiscal and regulatory developments, economic and financial market conditions in various countries and regions, political risks, project delay or advancement, approvals and cost estimates. Such forward-looking statements are relevant at the date of this Presentation and Comet Ridge assumes no obligation to update such information.

Investment risk

An investment in Comet Ridge shares is subject to investment and other known and unknown risks, some of which are beyond the control of Comet Ridge. Comet Ridge does not guarantee any particular rate of return or the performance of Comet Ridge. Persons should have regard to the risks outlined in this Presentation.

Competent Person Statement

The gas resource estimates for ATP 774P, ATP 337P, PMP 50100 and PMP 50279 provided in this statement were determined by Mr John Hattner of Netherland, Sewell and Associates Inc, Dallas, Texas, USA, in accordance with Petroleum Resource Management System guidelines. Mr Hattner is a full-time employee of NSAI, and is considered to be a qualified person as defined under the ASX Listing Rule 5.11 and has given his consent to the use of the resource figures in the form and context in which they appear in this presentation.

The resource estimates for PEL 6, PEL 427 and PEL 428 referred to in this presentation were determined by Mr Timothy L. Hower of MHA Petroleum Consultants LLC in accordance with Petroleum Resource Management System guidelines. Mr Hower is a full-time employee of MHA, and is a qualified person as defined under the ASX Listing Rule 5.11. Mr Hower consented to the publication of certain resource figures which appeared in the announcement of 7 March 2011 made by Eastern Star Gas Limited (ASX:ESG) and any reference and reliance on the resource figures for PEL 6, PEL 427 & PEL 428 in this presentation is only a restatement of the information contained in the ESG announcement.

Important Notice and Disclaimer

24


Comet Ridge Limited Contact Level 1

283 Elizabeth Street

Brisbane 4000

www.cometridge.com.au

25

GPO Box 798

Brisbane 4001

Telephone:

Facsimile:

Email

+61 7 3221 3661

+61 7 3221 3668

[email protected]

spotlight on asx conference · ** resource booking conducted 2010 and will be updated during 2013....

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