Comet Ridge Ltd · ASX:COI
Comet Ridge — Investor Presentation (April 2006)
23 slides from Comet Ridge's investor presentation, April 2006
Slide 1: Investor Update
Investor Update April 2006 Presenter: Andy Lydyard Managing Director April, 2006
Slide 2: Capital Structure
CAPITAL STRUCTURE • ASX code: COI • Listed: April 2004 • Issued shares: 61.2m shares • Issued options: 6.4m 3yr 20¢ options • Market cap: ~$20 million • Cash: $3.3 million • Top 20: 50% • Shareholders: 492 Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 3: Rapid Transition
RAPID TRANSITION 1 Year Ago Now Area of Activity Australia (QLD) Aust & USA Type CSG CSG & Conventional Projects 2 6 Operated 0 3 Personnel 2 10 Cash $2.3 million $3.3 million Stock Price $0.09 to $0.1 $0.235 Market Cap $6 MM $14.4MM Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 4: Strategy
STRATEGY • Low risk, close in exploration and redevelopment of mature oil and gas fields utilizing directional drilling technology developed in Australia • High leverage exploration plays – Large scale coal seam gas projects – Overlooked conventional plays amenable to “Australian Exploration” • USA
Slide 5: Group Structure
GROUP STRUCTURE Comet CometRidge RidgeLimited Limited ASX ASXListed ListedCo. Co. 100% Operator Rocky Mtn JV Comet CometRidge RidgeUSA USAInc Inc (Delaware Tow Creek, Manager of St. Helens (DelawareCo.) Co.) Bear River 100% St. St.Helens HelensEnergy EnergyLLC LLC (Washington Co.) Cedar Creek, (Wash
Slide 6: US Activities
US ACTIVITIES Grays GraysHarbor Harbor Oil & Gas Oil & Gas Tow TowCreek Creek Oil Oil Cedar CedarCreek Creek CSG CSG Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 7: Tow Creek & Bear River, CO
TOW CREEK & BEAR RIVER, CO 29 Bear BearRiver River 28 27 26 25 30 29 28 27 26 32 33 34 35 36 31 32 33 34 Tow TowCreek Creek 35 5 4 3 2 1 6 5 4 3 2 8 9 10 11 12 7 8 9 10 11 17 16 15 14 13 18 17 16 15 14 T6N-R87W T6N-R86W 20 21 22 23 24 19 20 21 22 23 2 29 28 27 26 25 30 29 28 27 26 2 32 33 34 35 36 3
Slide 8: Tow Creek & Bear River, CO
TOW CREEK & BEAR RIVER, CO • Comet Ridge 33.75 to 37.5% WI & operator • 11,000 acres under lease in Routt Co. N. Colo • Historic oilfield redevelopment • Asymmetrical anticline • Niobrara Fm - fractured reservoir • Untested deep structure + shallow gas • 2500 to 6000 ft • Directional, under balanced
Slide 9: Drilling Technology
DRILLING TECHNOLOGY Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 10: Grays Harbor, WA
GRAYS HARBOR, WA 100% & Operator Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 11: Grays Harbor
GRAYS HARBOR • St. Helens 100% WI and operator • Exclusive 2 year lease option on 420,000+ acres • One company owns the mineral and surface rights • Basin lightly drilled, only 2 wells drilled on seismic • Large exploration database and 600 miles of 2D • Numerous oil and gas shows • Multiple plays w
Slide 12: Cedar Creek, WA
CEDAR CREEK, WA Cedar CedarCreek CreekArea Area 100,000 100,000acres acres Coal CoalSeam Seam++Conventional ConventionalGas Gas Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 13: Cedar Creek
CEDAR CREEK • St. Helens 40% (non-operator) • Shallow CSG and deeper conventional gas • 100,000 acres under lease option • 15,000 acres under 5 year leases • Technical work encouraging • New prospect area identified • Planned late 2006 drilling Comet Ridge Limited Investor Update April, 2006 ASX COD
Slide 14: Challenges
CHALLENGES • People • Complex land ownership • Capital resources • Aggressive competition • Rig equipment • Weather Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 15: Australian Projects
AUSTRALIAN PROJECTS MAHALO MAHALO Tipton TiptonWest West Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 16: Mahalo
MAHALO • Core project • Targeting Permian coals • Sits on key infrastructure • Earning 40% (non operator) • Gas resource: 180 – 990 BCF • 2 holes drilled Feb ‘06 Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 17: Phase II Program
PHASE II PROGRAM Humboldt Humboldt11 Mahalo Mahalo22 Mira Mira11 Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 18: Phase II Results
PHASE II RESULTS • Mira and Humboldt core holes drilled in February • Positive results: – Coal thickness close to prognosis – Permeabilities range between 6 and 56 md – Coals undergoing desorption testing • Mahalo 2 drilling and testing delayed Comet Ridge Limited Investor Update April, 2006 ASX COD
Slide 19: Tipton West
TIPTON WEST • Divested minority, non-operated, interest • Cash proceeds $4.8 MM • Retain a 1.5% gross royalty* • Beach funding first $35 MM of development • Drilling has commenced • First gas sales (and hence cash flow to Comet Ridge) planned for early 2007 *Capped @ $8MM Comet Ridge Limited Investo
Slide 20: Shareholder Return
SHAREHOLDER RETURN Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 21: 2006 Objectives
2006 OBJECTIVES • Book reserves at Mahalo • Book reserves at Tow Creek • Establish production and cash flow in the USA • Grow position at Cedar Creek • Initiate exploration work on Grays Harbor • Grow team of oil (and gas) finders Comet Ridge Limited Investor Update April, 2006 ASX CODE: COI
Slide 22: Summary
SUMMARY • An Australian explorer now in control of its own destiny • Expanded portfolio and areas of operation – USA and Australia • Conventional as well as CSG • Operator with significant interests • Owns royalty on Tipton West development Comet Ridge Limited Investor Update April, 2006 ASX CODE: C
Slide 23: Contact Details
CONTACT DETAILS • Andy Lydyard • Vic Palanyk • Managing Director • General Manager • Denver • Brisbane Office: +1 +1303 303357 3574646 Mobile: +61 Office: 4646 Mobile: +61(0) (0)407 407889 889569 569 Fax: +1 303 357 4648 Tel: +61 Fax: +1 303 357 4648 Tel: +61(0) (0)7733 33600 600215 215 Mobile: Mobi