COMET RIDGE LIMITED — Board/Management Information 2008

Nov 13, 2008

ASX Announcement ABN 47 106 092 577 ASX Listed: 19 April 2004 Shares on Issue: 105 million Unlisted Options: 9,775 million Top 20: 44% Directors: 12%

==> picture [116 x 71] intentionally omitted <==

– Comet Ridge Limited Executive Management Changes

The board of Comet Ridge Limited advises that effective 13 November Mr David Bradshaw has resigned as Managing Director and from the board. The board has appointed the Chairman, Mr Jeff Schneider, as Executive Chairman.

Mr Schneider will take up his appointment immediately. He will be based in Brisbane and will work full-time in the role. This arrangement will remain in place until the company ’ s financial circumstances permit a new Managing Director to be recruited. The board proposes that Mr Schneider be remunerated on a non-cash equity basis which will be reviewed by the board in March 2009 and will be subject to the company ’ s performance at the time. Any remuneration to be paid on this basis will be subject to approval by shareholders.

At the time of Mr Bradshaw ’ s appointment the board had confidence that an equity raising could be undertaken to provide working capital. In addition discussions with parties to farm-in and fund exploration of the Company ’ s Australian coal seam gas acreage were well advanced.

The financial market melt-down in October has fundamentally changed that outlook. The prospective farm-in partners have been unable to conclude an arrangement and equity markets have dried up for the time being.

With the full support of Mr Bradshaw it has been resolved that the best course of action in the circumstances now facing the company is to move rapidly to cut costs to gain maximum value and time from the company ’ s current cash balance of [approximately

Comet Ridge Limited C/- Endeavour Corporate Suite 8, 7 The Esplanade Mt Pleasant, Western Australia 6153 T: +618 9316 9100 F: +618 9315 5475 www.cometridge.com.au

ASX Code: COI

ASX Announcement ABN 47 106 092 577 ASX Listed: 19 April 2004 Shares on Issue: 105 million Unlisted Options: 9,775 million Top 20: 44% Directors: 12%

==> picture [116 x 71] intentionally omitted <==

A$750,000]. As a consequence Mr Bradshaw has offered to resign his employment and positions with the company effective yesterday, which the company has accepted. No termination payments will be made to Mr Bradshaw nor is there any outstanding obligation in the form of cash or equity.

The board is appreciative of Mr Bradshaw ’ s decision as it leaves the company with significantly reduced ongoing calls on the Company ’ s cash reserves. The board would like to thank Mr Bradshaw for taking this decision and for being prepared in the first place to make the move across the Pacific to take over the reins of the company in what has proved to be extraordinarily difficult times.

In an effort to further preserve cash balance all non-executive directors have agreed to also undertake their duties for the time being without cash payment. This situation will be reviewed in March 2009 and either cash payments will be made if the company ’ s financial circumstances permit or non-cash equity based payments will be made in lieu. Payment of an equity nature will be put to shareholders for approval.

In commenting on his appointment Mr Schneider said:

“ In the financial world that we presently find ourselves, Comet Ridge, like other Companies must respond decisively. Mr Bradshaw ’ s offer to resign will free up considerable cash resources that will in turn give the company time to secure funding at the project and corporate level.

On behalf of the board and shareholders I thank Mr Bradshaw for his decision.

Comet Ridge Limited C/- Endeavour Corporate Suite 8, 7 The Esplanade Mt Pleasant, Western Australia 6153 T: +618 9316 9100 F: +618 9315 5475 www.cometridge.com.au

ASX Code: COI

ASX Announcement ABN 47 106 092 577 ASX Listed: 19 April 2004 Shares on Issue: 105 million Unlisted Options: 9,775 million Top 20: 44% Directors: 12%

==> picture [116 x 71] intentionally omitted <==

I also thank the non-executive directors and the Company Secretary for their decision to forgo payment of fees for the time being. This initiative will also materially assist in extending the company ’ s cash balances.

If shareholders and investors share the belief of the board that energy prices will remain high into the long term, then the Company ’ s assets continue to have considerable potential value. The real value of the assets remain irrespective of shorter term fluctuations in energy prices or for that matter share prices. The Company ’ s challenge in the short term is to find ways to unlock this value to the benefit of our shareholders. ”

The Annual General Meeting resolutions relating to Incentive Options for Mr Bradshaw will now be withdrawn.

Gillian Swaby

Company Secretary

==> picture [468 x 212] intentionally omitted <==

Comet Ridge Limited C/- Endeavour Corporate Suite 8, 7 The Esplanade Mt Pleasant, Western Australia 6153 T: +618 9316 9100 F: +618 9315 5475 www.cometridge.com.au

ASX Code: COI