COMET RIDGE LIMITED — Capital/Financing Update 2018

Jan 14, 2018

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Mira 6 horizontal well continues strong gas production trend

➢ Mira 6 / 2 horizontal-vertical well combination gas flow passes 200,000 scf/d

➢ Strong upward trend continuing

Comet Ridge Limited (ASX:COI) is pleased to provide an update on production operations at the Mira pilot scheme in the Mahalo Block in central Queensland.

The Mira 6 / 2 horizontal-vertical well combination was brought on-line by APLNG on Sunday 10 December and commenced producing gas after two days. This combination and three vertical wells (Mira 3, 4 & 5) have been on-line over the past month and are actively dewatering the Mira Pilot Scheme (See Figure 1).

Measured gas rates have been increasing steadily and last week passed 200,000 scf/d for the Mira 6/2 combination on a rising trend. Bottomhole pressure remains relatively high, indicating additional flow potential as gas rates are expected to increase significantly as the pressure in the pilot area is reduced.

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Comet Ridge Managing Director, Tor McCaul said he was very pleased with progress over the past few weeks.

He noted that the gas rate increase in Mira 6/2 had been much more rapid than for the horizontal well at the Mahalo pilot, and this was consistent with having a longer horizontal well at Mira contacting much more coal.

The Mahalo project is located approximately 240km west of Gladstone in the southern Bowen Basin.

Figure 1 Mira Pilot Operations

Comet Ridge Limited T: +61 7 3221 3661 E: comet@cometridge.com.au 283 Elizabeth St, Brisbane, Qld, 4000 ABN 47 106 092 577 F: +61 7 3221 3668 W: www.cometridge.com.au GPO Box 798, Brisbane, Qld, 4001

Comet Ridge Limited

The Project is close to infrastructure with pipeline connections to the Gladstone domestic and LNG market a short distance to both the west and south of the two pilot schemes.

Equity participants in ATP 1191 Mahalo Coal Seam Gas are Comet Ridge Mahalo Pty Ltd (40%), Australia Pacific LNG Pty Ltd (30%) and Santos QNT Pty Ltd (30%).

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Stephen Rodgers Company Secretary Comet Ridge Limited

For further information please contact: Tor McCaul Managing Director tor.mccaul@cometridge.com.au +61 7 3221 3661

Comet Ridge Limited T: +61 7 3221 3661 E: comet@cometridge.com.au 283 Elizabeth St, Brisbane, Qld, 4000 ABN 47 106 092 577 F: +61 7 3221 3668 W: www.cometridge.com.au GPO Box 798, Brisbane, Qld, 4001

Comet Ridge Limited

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COMET RIDGE LIMITED – OVERVIEW

Comet Ridge Limited has significant Coal Seam Gas (CSG) projects in key regions of Queensland and northern New South Wales. Gas resources have been certified, by independent professional certifiers, at several projects and gas reserves were certified in 2014 and expanded in 2015, at the Mahalo project in Queensland. The company is listed on the Australian Securities Exchange (ASX Code: COI) and is based in Brisbane. The Board and Management are experienced in establishing and developing energy projects.

Corporate Strategy

Comet Ridge’s early entry into well-located exploration areas, has allowed shareholders to gain substantial leverage into the considerable upside value potential associated with exploration success.

Comet Ridge conducts CSG exploration and appraisal, with the aim of maturing exploration acreage from Gas Resources into Proven and Probable Gas Reserves. This process initially involves drilling wells in order to certify Prospective and Contingent Resources and then through further appraisal via Pilot Projects, with the intention of progressing into certified Reserves.

Where possible, Comet Ridge takes high equity positions in its large exploration permits, including a 100% interest in three blocks in the Galilee Basin. Comet Ridge has 40% equity in the ATP 1191 Mahalo Block in the Bowen Basin and is now acting as agent for the Exploration Operator in order to manage work on the block. The Company also has CSG equity of 29.55%, 59.09% and 68.42% respectively in PEL 6, PEL 427 and PEL 428 in the Gunnedah Basin in New South Wales.

Work Programme

Comet Ridge has an active exploration and appraisal work plan for CSG projects in eastern Australia, focused on the conversion of contingent resources to reserves.

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Comet Ridge Limited T: +61 7 3221 3661 E: comet@cometridge.com.au 283 Elizabeth St, Brisbane, Qld, 4000 ABN 47 106 092 577 F: +61 7 3221 3668 W: www.cometridge.com.au GPO Box 798, Brisbane, Qld, 4001

Comet Ridge Limited

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