COMET RIDGE LIMITED — Investor Presentation 2007

Jul 11, 2007

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Comet Ridge Limited
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>> Investor Presentation

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July 2007
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>> Who Are We?

Comet Rid g e Limited ( COI ) Oil and gas explorer/developer transitioning to producer Projects in Australia & USA

ASX Li ste d : pr A il 2004 Management in Denver, CO (Dec 05) Major shareholder: Strike Oil (8.4%)

Capital Structure[#]

	Shares on issue	104 million
	Unlisted options*	8 million
	Market Cap	US$22million
	Cash	~US$5 million
	Top 20	44%
	Directors	12%
	Shareholders	831

As of 28 June, 2007 *Exercise prices between AUD$0.2 and AUD$0.5

Liquidity: Avg daily volume 230,000 (1/1/07 thru 6/28/07) Maximum: 878,800 (1/2/07)

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>> Comet Ridge

Strong diversified portfolio of seven US and Australian projects Exposure to conventional oil and gas and coal seam gas Material interests and operator of most US projects Experienced board and proven US based management team in place High activity level in 2007/08 with 10 to 12 wells planned Company has the people and the projects that, with success, can deliver significant share appreciation in the coming 12 months

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>> Objective

: Generate significant shareholder returns via • Finding and producing incremental oil and gas in Project Areas mature fields using new technology

• Finding and producing oil and gas in proven but overlooked areas

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>> Strategy

Strategy Execution

People Proven US based management team 7 professionals >175+ years E&P experience 4 have run large E&P businesses Meanin ful interests 33.75% to 100% of existing projects g Large acreage positions High impact projects in place 600,000 controlled acres over 4 plays in US Interests in 5 large Australian permits Operator Comet Ridge operates all but one of the US projects Balanced Portfolio Australia & US, Conventional oil & gas & coal seam gas Activity level 10 – 12 wells + 3 seismic programs in 2007 Share price leverage Portfolio offers significant upside opportunities

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>> People

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Name Position Experience Located
Jeff Schneider Chairman 30 + years Aust
Andy Lydyard Managing Director 26 years USA
Gill Swaby Company Secretary & 26 years Aust
Non Exec. Director
Simon Ashton Non Exec . Director 30+ years Aust
B oar d owns 12% o f s oc t k
Gary Drobnack Non Exec. Director 30+ years USA
Name Position Experience Located
Andy Lydyard President & CEO 26 years USA
Gary Mabie VP Operations 40 years USA
Pat Jackson VP Ex p loration 27 y ears USA
Michael Cuba VP Land & Bus Dev. 28 years USA
Art Stewart Manager Operations 30 years USA All employees own options
Jim Knox Financial Controller 18 years USA
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>> Project Summary

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Comet Ridge Ltd
ASX: COI
100% 100%
100%
USA, Inc.
Pacific NW Rockies Australia
Vader/Cedar Ck Grays Harbor Bear River Tow Creek Florence Mahalo Gunnedah
40% 100% 33.75% 37.5% 39% 40% 20 to 25%
Galilee
Coal Seam Gas Oil & Gas Oil
100%
& Conv Gas
Coal Seam Gas & Conv. Gas
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Project Areas
Grays Harbor
Vader/Cedar Creek
Galilee Basin
Mahalo
Tow Creek
Tipton West
TARGET
Florence
Oil G unne d a h B as n i
Gas
Coal seam gas
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>> Potential Value

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Grays Harbor Vader/ Tow Creek/ Florence
Cedar Creek Bear River
Play Type GAS CSG/GAS OIL OIL
Modeled Reserve 100 BCF 140 BCF 3.3 MMBBLS 1.5 MMBBLS
(Gross) (16 . 7 MMBOE) (23 . 3 MMBOE)
Working Interest 100% 40% 35.6% (Avg) 39%
BTAX NPV 10% (Net) AU$168 million AU$74 million AU$24 million AU$15 million
Potential value/share AU$1.61 AU$0.75 AU$0.225 AU$ 0.15
Potential value/share US$1.29 US$0.60 US$0.18 US$0.12
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• Considers one 100 BCF discovery only - Revenues and costs un escalated AU$/share and US$/share calculated with 104 million shares More complete data shown in Appendix 1

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Assembling the team and acreage position is almost complete, significant field >> activity planned or 07f /08 Project Timeline

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>> Grays Harbor

Proven but overlooked basin Conventional oil & gas Washington State, Pacific NW USA 438 , 000 acres under lease or option 100% interest and operator Lightly explored, proven basin Strong oil and gas shows Numerous large structures Multiple reservoir targets Excellent year round access

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>> Grays Harbor

one 2 near drillable prospects – with bypassed pay

Unrisked In Place Gas Resource Potential

P10 6.6 TCF P50 1.7 TCF P90 0 . 5 TCF

East

(100 + BCF P50) 38 leads - 15 to 100 BCF (P50) 2 wells on seismic - one is a potential discovery 42 wells - 7 deeper than 3,000ft Pipeline infrastructure in place Gas market identified New seismic being permitted

>> Grays Harbor

Prospect “A” “Overlooked discovery” P50: 100BCF+ P90: 250 BCF Comet Ridge 100% 2 gas blowouts from shallow sands Well recovered gas cut mud on test Well flowed gas on test

>> Chehalis Basin

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Coal seam gas Washington State, Pacific NW USA 176 , 000 gross/70 , 400 net acres 40% interest (Cascadia Energy)

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>> Chehalis Basin

Proven but overlooked basin 1 hole drilled on Vader 3 core hole program imminent Program aimed at establishing a significant gas resource in shallow coals and sands close to major pipeline infrastructure

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>> Tow Creek/Bear River

• Oil in fractured shale reservoirs

• The Rockies, USA

• Mature oil field redevelopment

• Large known oil field

• Tow Creek 200 MMBO in place* Recovered 6 MMBO (3%)

• 16 , 000 acres leased

• Operator

• Tow Creek (37.5% interest)

• Bear River ( 33.75% interest )

• Sidetrack + 1 well in 2007

• Ready market – premium prices

• • Play expansion possible

*internal estimate

>> Tow Creek/Bear River

3rd Well

CVU 31-4 Sidetrack and complete Strong oil shows

Peltier 11-12 (Testing oil)

inclined hole

3 fractured “benches” in the Niobrara 3 Well “Proof of Concept”

inclined hole

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>> Florence

• Oil in fractured shales

• Central Colorado, USA

• 7,000 acres under lease

• Operator with 39%

• Mature oil field redevelopment

• 8 sq mi 3D seismic program in 2007

• • 3 we ll s a er n l t i th e year

• Multiple objectives

• Deeper zones very lightly drilled

• – Sh a ll ow zones – ver ti ca we l ll s

• 15 MMBO recovered to date

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>> Florence

Field discovered 1862 15 MMBO produced from shallow fractured shales Field lar el abandoned g y Deeper potential virtually untested Royal Gorge 1 producing 100 BOPD – 72 , 000 barrels in 2 years Mountain Petroleum well cased 100 to 200 BCF gas + 15 MMBO 8+ mile 2 3D seismic survey complete

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>> Florence

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Fractured Pierre Fm
Cum: 15 MMBO
Fractured Niobrara
Very lightly drilled
Deeper Potential in
the Muddy, Dakota &
Entrada
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>> Australian Projects

Galilee Basin – ATP’s 743/744

Mahalo – ATP 337P

Gunnedah Basin – PEL’s 427/428

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>>

• Coal seam gas

• Northern ATP 337P, Qld, Australia

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• Significant contingent gas resource –

• (180 990 BCF)

• 40% non operated Interest

• 260,000 acres

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• Partners are Santos and Origin Energy

• Project can deliver shareholder value Significant CSG transactions, market growth and demise of PNG pipeline

• 5 holes drilled, further work warranted

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>> Activity & Capital Program

	> Bullet Region Project 2007/08 Activity Net Capital (US$ million) Australia Mahalo TBD TBD	> Bullet Region Project 2007/08 Activity Net Capital (US$ million) Australia Mahalo TBD TBD	> Bullet Region Project 2007/08 Activity Net Capital (US$ million) Australia Mahalo TBD TBD	> Bullet Region Project 2007/08 Activity Net Capital (US$ million) Australia Mahalo TBD TBD	> Bullet Region Project 2007/08 Activity Net Capital (US$ million) Australia Mahalo TBD TBD
	> Bull Region	et Project	2007/08 Activity	Net Capital (US$ million)
	Australia	Mahalo	TBD	TBD
	~~u~~ ~~>~~
		Gunnedah Basin	Seismic + 2 wells	Farmed out
	> Bull	et Galilee Basin	Technical Studies	Farmed out
	~~Bll~~	~~t~~ Tipton West Royalty	SOLD	0
	~~> ~~~~u~~ USA	Tow Creek/ Bear River	2 to 4 wells	$1.2 to 2.5
		Florence	Seismic + 3 wells	$1
		Grays Harbor	Seismic + 1 well	$4 to 7
		Vader/Cedar Creek	4 wells	$1.0
		TOTAL	10 to 12 wells	$7.2 to 11.5

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>> Funding Sources

Exploration Funding Requirement: US$7.2 to 11.5 million (over next 12 months)

• Current cash

• Cash on hand US$5.0 million

(Includes proceeds from TPW sale)

• Industry partners

– Farm-outs (marketing underway)

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>>

Strong diversified portfolio Conventional oil and gas and coal seam gas M a er a t i l i n eres s t t Operator of most US projects Experienced board and proven US based management team 10 to 12 wells planned in 2007/08

Company has the people and the projects that, with success, can deliver significant share appreciation in the coming 12 months

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>>

Oil & Gas Terminology:

Crude Oil

BBLS – Barrels of Oil BOE – Barrels of Oil Equivalent (1 BOE= 6MCF gas) BOPD – Barrels of Oil per Day MBBLS – Thousand Barrels of Oil

MBOE – Thousand Barrels of Oil Equivalent MMBBLS - Million Barrels of Oil MMBOE – Million Barrels of Oil Equivalent

Natural Gas

MCF – thousand cubic feet (approximately equal to 1 GigaJoule) MCFD – thousand cubic feet per day MMCF – Million cubic feet (approximately equal to 1 TeraJoule)

BCF – Billion cubic feet (approximately equal to 1 PetaJoule)

TCF - Trillion cubic feet ( a pp roximatel y e q ual to 1000 PJ )

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>> Contacts

Registered Office

C/- Endeavour Corporate Suite 8, 7 The Esplanade Mt Pleasant, Western Australia 6153 Telephone: +618 9316 9100 F acs m i il e: + 618 931 5 5 4 75 Website: www.cometridge.com.au

Managing Director

Andy Lydyard 600 17th Street, Suite 600-S Denver, Colorado 80202 T e ep l h one: + 1 (303) 226 1300 Facsimile: +1 (303) 226 1301 Email: andyl@cometridgeusa.com

USA Operations

600 17th Street, Suite 600-S Denver, Colorado 80202 T e ep l h one: + 1 (303) 226 1300 Facsimile: +1 (303) 226 1301 Email: andyl@cometridgeusa.com

Share Registry

Computershare Registry Services Pty Ltd Level 2 , Reserve Bank Building , 45 St Georges Terrace, Perth, Western Australia 6000 Telephone: +61 8 9323 2000 Facsimile: +61 8 9323 2033

Investor Relations – Australia

D av id W a er t h ouse Waterhouse Investor Relations Level 1 Professional Suites 120 Collins Street Melbourne VIC Australia Telephone: +613 9639 9099 Mobile/Cell: +613 040788 0937 Facsimile: +613 9639 3699 Email: dwaterhouse@waterhouseir.com.au

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>> Appendix 1

		Grays Harbor	Vader/ Cedar Creek	Tow Creek/ Bear River	Florence
	Play Type	GAS	CSG/GAS	OIL	OIL
	Modeled Reserve (Gross)	100 BCF (16.7 MMBOE)	140 BCF (25.3 MMBOE)	3.3 MMBBLS	1.5 MMBBLS
	N b f ll um er o we s	20	400	11	10
	Initial Rate	5 MMCFD/well	200 MCFD/well	150 BOPD	100 BOPD
	Recovery per well	5 BCF (902,650 BOE)	0.35 BCF (63,186 BOE)	300,000 BBLS	100,000 BBLS
	Cost per well	$2.9MM	$245,000	$2.2 million	$600,000
	Total Capital (Net)	$57 million	$39.2 million	$8.14 million	$2.34 million
	Operating Expenses	$0.50/MCF $0.45/MCF	$0.50/MCF $0.45/MCF trans	$1,500/well/mo	$1,500/well/mo
		trans
	Working Interest	100%	40%	35.6% (Avg)	39%
	Product Price	$5/MCF flat	$5/MCF flat	$60/BBL flat	$60/BBL flat
	BTAX NPV 10%	$134 million	$59 million	$19.4 million	$12 million
	IRR	>100%	66%	>100%	>100 %
	Potential value/share	US$1.29	US$0.60	$0.18/share	$0.12/share

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>> Disclaimer

Comet Ridge Limited has taken all reasonable care in producing the text and images contained in 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 and information from other sources. It is not intended to give investment or other advice to an y p art y or individual ( s ) and the information is not a substitute for detailed investigation or analysis.

Comet Ridge Limited will not be responsible for any loss or damage (direct or indirect , consequential or otherwise) resulting from the use of information provided in this presentation.

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