HYTERRA LTD — Interim / Quarterly Report 2013

Dec 12, 2013

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T r i p l e E n e r g y L i m i t e d A C N 1 1 6 8 2 9 6 7 5

I N T E R I M F I N A N C I A L R E P O R T 3 0 S E P T E M B E R 2 0 1 3

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CONTENTS	PAGE
Directors’ Report	3
Auditor’s Independence Declaration	6
Condensed Statement of Comprehensive Income	7
Condensed Statement of Financial Position	8
Condensed Statement of Changes in Equity	9
Condensed Statement of Cash Flows	10
Notes to the Condensed Financial Statements	11
Directors’ Declaration	17
Independent Auditor’s Review Report	18

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DIRECTORS’ REPORT

Your directors submit the financial report of the Company for the half-year ended 30 September 2013. In order to comply with the provisions of the Corporations Act 2001, the directors report as follows:

Directors

The names of directors who held office during or since the end of the interim period and until the date of this report are noted below. Directors were in office for this entire period unless otherwise stated.

Paul Underwood	Executive Chairman / Managing Director
Garry Ralston	Non-Executive Director
Greg Meldrum	Non-Executive Director (appointed 27 November 2013)
Richard Hayward	Non-Executive Director (resigned with effect from 30 November 2013)
	Non-Executive Director (appointed 7 February 2013, resigned 12 November
Rodney Bresnehan	2013)

Operating results

The loss of the Company for the half-year after income tax was $230,992 (30 September 2012 loss: $372,703).

Review of Operations

THE AOLONG COAL MINE GAS (CMG) PROJECT

Summary of Field Operations

During the year, the company operated and funded the Xian- Xian-1 well in the Heilongjiang Province in China on behalf of the Heilongjiang Aolong Energy Co., (“Heilongjiang Aolong Joint Venture”) (Triple 80%).

Drilling operations were completed in July 2013. A report prepared by AWT International technical consultants based on the well completion report and wireline logs of the well confirms that the well intersected;

• A total of 63.4 meters of coal seams

• 47.2 meters of coal seams with a thickness of > 2 meters

• 37 meters of gassy coal seams at Seam # 11 and below

Detailed analytical work on the Drill Stem Test (DSTs) demonstrates that the permeability in the coal seams tested was better than originally interpreted with Seam 15 now measured at 3.56 md. This contributes to our view that these coals are suitable for unconventional gas production (subject to the gas saturation levels) which are planned to be acquired from the next corehole drilling programme in 2014.

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Xian-Xian – 1 well site – July 2013

AWT International (“AWT”) has prepared a report summarizing the well results for a Farm-out Information Memorandum.

The following are extracts from the AWT report;

“Prior to drilling the recently completed well, the area proximate to the well (Xian Xian) was estimated to have an average net coal thickness of 27.18m, spread across four coal seams, giving an estimated GIP of 122.17 BCF.

The Xian Xian-1 well has added a significant volume of coal to the total net thickness, with total coal seam thickness increasing from 27.18m to 63.4m . In addition to this the Xian Xian-1 well has shown that other seams are present in the area and how thick each one is. Xian Xian-1 well was drilled to prove coal thicknesses and test coal permeability to ultimately give indications as to whether a potential gas resource could be recovered.

It is clear from gas show data (on mud logs) that the coals are gas bearing and that there is likely a relationship between gas content and depth. In total there are 12 coal seams that have significant gas shows (greater than 2%). It would be very beneficial to progressing this project to undertake gas desorption analysis on at least these coal seams.

Gas shows in the Xian-Xian-1 well suggest that coal seams below 480m contain significantly greater gas, and that for the most part, gas saturation/content is likely to increase with depth. The total gas shows of up to 15% in Xian Xian-1 are significantly higher than those seen in the Surat Basin (often around 5%).”

Indicative Well and Contract Planning – 2014 Well Campaign

Subject to funding, the well campaign for 2014 is in planning and will likely consist of one or more core-holes (to acquire desorption data such that (inter alia) gas saturation levels can be calculated) plus one or possibly two pilot flow-test wells. In addition, planning is underway to re-enter Xian Xian-1 to drill a lateral section in one of the intersected coal seams with a view to flow testing and obtaining long-term pilot production information.

The existing bore-hole data acquired by the 20% joint venture participant in the Heilongjiang Aolong Joint Venture, LongMay Coal Mining Company is being collated and interpreted in detail against the results of the Xian-Xian -1 for future well planning.

The preliminary wells plan(s) and well locations are under preparation with a view to commence contracting rig(s) and associated services for the 2014 well campaign as soon as possible.

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DIRECTORS’ REPORT (continued)

Farmout

Triple has engaged Paterson’s Corporate to assist with identifying qualified and suitable investment partners to fund the next round of drilling which is expected to start in April 2014. Several entities have expressed an interest and meaningful discussions are ongoing.

Corporate and financial

On 16 May 2013 Triple announced a fully-subscribed placement of 45.45 million new shares at 2.2 cents per share to raise $1,000,000 before costs ( Placement ) and the Placement was completed on 20 May 2013. A Share Purchase Plan (SPP) offer was announced at the same time as the Placement and closed on 21 June 2013, raising $80,000 before costs.

Capital Structure

The Company currently has 520,940,915 ordinary shares, 85,000,000 options and 300,000,000 performance shares (subject to vesting conditions) on issue.

Auditor’s Independence Declaration

Section 307C of the Corporations Act 2001 requires our auditors, HLB Mann Judd, to provide the directors of the Company with an Independence Declaration in relation to the review of the interim financial report. This Independence Declaration is set out on page 6 and forms part of this directors’ report for the half-year ended 30 September 2013.

This report is signed in accordance with a resolution of the Board of Directors made pursuant to s.306(3) of the Corporations Act 2001.

Paul Underwood Chairman

Dated this 12[th] day of December 2013

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AUDITOR’S INDEPENDENCE DECLARATION

As lead auditor for the review of the financial report of Triple Energy Limited for the halfyear ended 30 September 2013, I declare that to the best of my knowledge and belief, there have been no contraventions of:

• a) the auditor independence requirements of the Corporations Act 2001 in relation to the review; and

• b) any applicable code of professional conduct in relation to the review.

This declaration is in respect of Triple Energy Limited and the entities it controls.

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Perth, Western Australia 12 December 2013

N G Neill Partner, HLB Mann Judd

HLB Mann Judd (WA Partnership) ABN 22 193 232 714 Level 4 130 Stirling Street Perth 6000 PO Box 8124 Perth BC 6849 Western Australia. Telephone +61 (08) 9227 7500. Fax +61 (08) 9227 7533. Email: hlb@hlbwa.com.au. Website: http://www.hlb.com.au Liability limited by a scheme approved under Professional Standards Legislation

HLB Mann Judd (WA Partnership) is a member of International, a world-wide organisation of accounting firms and business advisers

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CONDENSED STATEMENT OF COMPREHENSIVE INCOME FOR THE HALF-YEAR ENDED 30 SEPTEMBER 2013

Notes Other income Admininistrative expenses Directors’ fees Finance costs New project evaluation Exploration expenditure written off Other expenses Loss before income tax expense 2 Income tax expense Loss after tax from continuing operations Net loss for the period Other comprehensive income Items that may be reclassified to profit and loss Exchange differences on translation of foreign operations Total comprehensive (loss) for the period Loss attributable to: Owners of the group Non-controlling interests Loss for the year Basic (loss) per share from continuing operations (cents per share) The accompanying notes form part of these financial statements.	Consolidated Parent 30 Sept 2013 $ 30 Sept 2012 $ 11,882 13,143
	11,882 13,143 (150,040) (124,487) (79,062) (123,476) - (2,430) (13,772) (114,473) - (19,656) - (1,324)
	(230,992) (372,703) - -
	(230,992) (372,703)
	(230,992) (372,703)
	(50,312) -
	(281,304) (372,703)
	(281,304) (372,703) - -
	(281,304) (372,703)
	(0.05) (0.14)

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CONDENSED STATEMENT OF FINANCIAL POSITION AS AT 30 SEPTEMBER 2013

Note Assets Current Assets Cash and cash equivalents Other current assets Total Current Assets Non-Current Assets Tangible fixed assets Deferred exploration and evaluation expenditure 3 Total Non-Current Assets Total Assets Liabilities Current Liabilities Trade and other payables Total Current Liabilities Non-Current Liabilities Total Liabilities Net Assets Equity Issued capital 4 Reserves Accumulated losses Parent entity interest Non-controlling interests Total equity	Consolidated Parent 30 Sep 2013 $ 31 Mar 2013 $ 1,198,490 2,166,950 217,459 123,949
	1,415,949 2,290,899
	219,007 29,591 4,221,015 2,034,416
	4,440,022 2,064,007
	5,855,971 4,354,906
	664,069 229,928
	664,069 229,928
	- -
	664,069 229,928
	5,191,902 4,124,978
	29,002,942 27,887,943 856,639 991,951 (25,247,346) (25,016,354)
	4,612,236 3,863,540 579,667 261,438
	5,191,902 4,124,978

The accompanying notes form part of these financial statements.

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CONDENSED STATEMENT OF CHANGES IN EQUITY FOR THE HALF-YEAR ENDED 30 SEPTEMBER 2013

Parent Balance at 1 April 2012 Loss for the period Shares issued during the half-year Transaction costs on share issue Balance at 30 September 2012 Consolidated Balance at 1 April 2013 Loss for the period Shares issued during the half-year Transaction costs on share issue Foreign exchange reserve movements arising on translation of overseas subsidiaries Balance at 30 September 2013	Issued Capital Accumulated Losses Reserves Total Non- controlling Interests Total Equity $ $ $ $ $ $
	25,039,090 (24,049,308) (254,694) 735,088 - 735,088 - (372,703) - (372,703) - (372,703) 562,500 - - 562,500 - 562,500 (37,106) - - (37,106) - (37,106)
	25,564,484 (24,422,011) (254,694) 887,779 - 887,779
	27,887,943 (25,016,354) 991,951 3,863,540 261,438 4,124,978 - (230,992) - (230,992) - (230,992) 1,165,000 - (85,000) 1,080,000 318,229 1,398,229 (50,001) - - (50,001) - (50,001) - - (50,312) (50,312) - (50,312)
	29,002,942 (25,247,346) 856,639 4,612,235 579,667 5,191,902

The accompanying notes form part of these financial statements.

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CONDENSED STATEMENT OF CASH FLOWS FOR THE HALF-YEAR ENDED 30 SEPTEMBER 2013

Cash flows from operating activities Payments to suppliers and employees Interest received Net cash (used) in operating activities Cash flows from investing activities Payments to acquire tangible fixed assets Payments for exploration and evaluation expenditure Net cash (used in) investing activities Cash flows from financing activities Proceeds from issue of shares and options Transaction costs on issue of shares Net cash provided by financing activities Net (decrease) / increase in cash held Net foreign exchange differences Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period

Consolidated Parent 30 Sep 2013 $ 30 Sep 2012 $ Inflows/(Outflows) (368,871) (217,509) 11,882 13,147 (356,889) (204,362) (193,521) - (1,447,950) (20,556) (1,641,471) (20,556) 1,080,000 562,500 (50,000) (40,817) 1,030,000 521,683 (968,460) 296,765 - - 2,166,950 734,195 1,198,490 1,030,960

The accompanying notes form part of these financial statements.

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 SEPTEMBER 2013

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

Statement of compliance

The interim financial statements are a general purpose financial report prepared in accordance with the requirements of the Corporations Act 2001, applicable accounting standards including AASB 134 ‘Interim Financial Reporting’, Accounting Interpretations and other authoritative pronouncements of the Australian Accounting Standards Board (‘AASB’). Compliance with AASB 134 ensures compliance with IAS 34 ‘Interim Financial Reporting’.

This condensed half-year report does not include full disclosures of the type normally included in an annual financial report. Therefore, it cannot be expected to provide as full an understanding of the financial performance, financial position and cash flows of the group as in the full financial report.

It is recommended that this financial report be read in conjunction with the annual financial report for the year ended 31 March 2013 and any public announcements made by Triple Energy Limited (“Triple”) during the half-year in accordance with continuous disclosure requirements arising under the Corporations Act 2001 and the ASX Listing Rules.

The accounting policies adopted are consistent with those of the previous financial year and corresponding interim reporting period, except as set out below.

Basis of preparation

The interim report has been prepared on a historical cost basis, except for the revaluation of certain financial instruments to fair value. Cost is based on the fair value of the consideration given in exchange for assets. The Company is domiciled in Australia and all amounts are presented in Australian dollars, unless otherwise noted.

For the purpose of preparing the interim report, the half-year has been treated as a discrete reporting period.

Going concern

For the period ended 30 September 2013 the Group recorded a net loss of $230,992, a net operating cash outflow of $356,889 and a net investing cash outflow of $1,641,471.

Notwithstanding the above, the financial statements have been prepared on a going concern basis, which contemplates continuity of normal business activities and the realisation of assets and liabilities in the ordinary course of business and on the assumption of sufficient funds continuing to be available for the operations of the Company and its subsidiaries.

The Board considers that the Company is a going concern and recognises that additional funding is required to ensure that the Company can continue to fund the consolidated entity’s operations and further develop its projects during the twelve month period from the date of this financial report. The Directors are reviewing a number of funding options, (including, as disclosed elsewhere in this report a farmout of part of its project interest) and are confident that the necessary funding can be sourced.

In the event that the Company is unsuccessful in deriving sufficient additional funding for its operations there would exist a material uncertainty that may cast significant doubt on the Company’s ability to continue as a going concern and realise its assets and discharge its liabilities in the normal course of business and at the amounts stated in the interim financial report.

Significant accounting judgements and key estimates

The preparation of interim financial reports requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expense. Actual results may differ from these estimates.

In preparing this interim report, the significant judgements made by management in applying the Group’s accounting policies and the key estimates of uncertainty were the same as those applied for the year ended 31 March 2013.

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NOTES TO THE FINANCIAL STATEMENTS

FOR THE HALF-YEAR ENDED 30 SEPTEMBER 2013

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (continued)

Adoption of new and revised Accounting Standards

In the half-year ended 30 September 2013, the Directors have reviewed all of the new and revised Standards and Interpretations issued by the AASB that are relevant to the Group’s operations and effective for annual reporting periods beginning on or after 1 April 2013.

It has been determined by the Directors that there is no impact, material or otherwise, of the new and revised Standards and Interpretations on its business and therefore, no change necessary to Group accounting policies.

The Directors have also reviewed all new Standards and Interpretations that have been issued but are not yet effective for the half-year ended 30 September 2013. As a result of this review the Directors have determined that there is no impact, material or otherwise, of the new and revised Standards and Interpretations on the Group’s business and, therefore, no change necessary to Group accounting policies.

Financial assets

Financial assets in the scope of AASB 139 Financial Instruments: Recognition and Measurement are classified as either financial assets at fair value through profit or loss, loans and receivables, held-to-maturity investments, or available-for-sale investments, as appropriate. When financial assets are recognised initially, they are measured at fair value, plus, in the case of investments not at fair value through profit or loss, directly attributable transactions costs. The Group determines the classification of its financial assets after initial recognition and, when allowed and appropriate, re-evaluates this designation at each financial year-end.

All regular way purchases and sales of financial assets are recognised on the trade date i.e. the date that the Group commits to purchase the asset. Regular way purchases or sales are purchases or sales of financial assets under contracts that require delivery of the assets within the period established generally by regulation or convention in the marketplace.

Available-for-sale investments

Available-for-sale investments are those non-derivative financial assets that are designated as available-for-sale or are not classified as any of the three preceding categories. After initial recognition available-for sale investments are measured at fair value with gains or losses being recognised as a separate component of equity until the investment is derecognised or until the investment is determined to be impaired, at which time the cumulative gain or loss previously reported in equity is recognised in profit or loss.

The fair value of investments that are actively traded in organised financial markets is determined by reference to quoted market bid prices at the close of business on the balance date. For investments with no active market, fair value is determined using valuation techniques. Such techniques include using recent arm’s length market transactions; reference to the current market value of another instrument that is substantially the same; discounted cash flow analysis and option pricing models.

Impairment of financial assets

The Group assesses at each balance date whether a financial asset or group of financial assets is impaired.

Available-for-sale investments

If there is objective evidence that an available-for-sale investment is impaired, an amount comprising the difference between its cost (net of any principal repayment and amortisation) and its current fair value, less any impairment loss previously recognised in profit or loss, is transferred from equity to the statement of comprehensive income. Reversals of impairment losses for equity instruments classified as available-for-sale are not recognised in profit. Reversals of impairment losses for debt instruments are reversed through profit or loss if the increase in an instrument's fair value can be objectively related to an event occurring after the impairment loss was recognised in profit or loss.

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 SEPTEMBER 2013

NOTE 2: LOSS BEFORE INCOME TAX EXPENSE

The following revenue and expense items are relevant in explaining the financial performance for the half-year: Interest income Accounting and audit fees ASX and share registry fees Company secretarial Insurance Rent Travelling Other expenses Total expenses NOTE 3: DEFERRED EXPLORATION AND EVALUATION EXPENDITURE Costs carried forward in respect of areas of interest in the following phases: Exploration and evaluation phase – at cost Balance at beginning of period Acquisition costs Exploration expenditure Write off of exploration expenditure Total deferred exploration and evaluation expenditure	Consolidated Parent 30 September 2013 $ 30 September 2012 $ 11,882 13,143 19,522 18,408 37,040 16,122 39,353 14,716 20,535 8,273 23,697 50,751 13,685 17,695 89,042 259,881
	242,874 385,846
	Consolidated Parent 30 September 2013 $ 30 September 2012 $ 2,034,416 9,864 - - 2,186,599 19,656 - (19,656)
	4,221,015 9,864

The recoupment of costs carried forward in relation to areas of interest in the exploration and evaluation phases is dependent upon the successful development and commercial exploitation or sale of the respective areas.

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 SEPTEMBER 2013

NOTE 4: ISSUED CAPITAL

NOTE 4: ISSUED CAPITAL
			Consolidated	Parent
			30 September	31 March
			2013	2013
			$	$
Ordinary shares - Issued and fully paid			28,202,942	27,087,943
Performance Shares			800,000	800,000
Total			29,002,942	27,887,943
Movements in issued capital during period to 30 September:
	2013	2012	2013	2012
Fully Paid Ordinary Shares	No.	No.	$	$
At start of period	468,850,000	250,000,000	27,087,943	25,039,090
Shares issued	52,090,910	37,500,000	1,165,000	562,500
Transaction costs	-	-	(50,001)	(37,106)
At end of period	520,940,910	287,500,000	28,202,942	25,564,484
	2013	2012	2013	2012
Performance Shares	No.	No.	$	$
At start of period	350,000,000	-	800,000	-
At end of period	350,000,000	-	800,000	-

NOTE 5: OPERATING SEGMENTS

Identification of reportable segments

Triple Energy Limited is focused on the oil and gas sector.

The Group has identified its operating segments based on the internal reports that are reviewed and used by the executive and technical consultants (the chief operating decision makers) in assessing performance and in determining the allocation of resources.

The operating segments are identified by management based on the nature of its interests and projects. Discrete financial information about each of these projects is reported to the executive management team on at least a monthly basis.

Location of interests and nature of projects

Oil and gas exploration projects

The Group’s current project is located in the People’s Republic of China. The Company continues to review other potential opportunities within the oil and gas sector internationally.

Accounting policies and inter-segment transactions

The accounting policies used by the Group in reporting segments internally are the same as those contained in Note 1 to the accounts and in the prior period.

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NOTES TO THE FINANCIAL STATEMENTS FOR THE HALF-YEAR ENDED 30 SEPTEMBER 2013

NOTE 5: OPERATING SEGMENTS (Continued)

Half-year ended 30 September 2013 Total segment revenue Segment net operating loss after tax Interest revenue Segment assets Segment liabilities Cash flow information Net cash flow from operating activities Net cash flow from investing activities Net cash flow from financing activities	CONSOLIDATED
	Oil and Gas Projects $ Unallocated Items $ Total $
	- 11,882 11,882
	(13,772) (217,219) (230,992)
	- 11,882 11,882 4,414,536 1,441,435 5,855,971
	(390,738) (273,331) (664,069)
	- (356,989) (356,989) (1,641,471) - (1,641,471) - 1,030,000 1,030,000

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NOTE 5: OPERATING SEGMENTS (continued)

Half-year ended 30 September 2012 Total segment revenue Segment net operating loss after tax Interest revenue Segment assets Segment liabilities Cash flow information Net cash flow from operating activities Net cash flow from investing activities Net cash flow from financing activities	PARENT
	Oil and Gas Projects $ Unallocated Items $ Total $
	- 13,143 13,143
	(19,656) (358,047) (372,703)
	- 13,143 13,143 9,864 1,053,994 1,063,858
	- (176,079) (176,079)
	- (204,362) (204,362) - (20,656) (20,656) - 521,683 521,683

NOTE 6: DIVIDENDS

The Directors of the Company have not declared an interim dividend.

NOTE 7: CONTINGENT LIABILITIES

There has been no change in contingent liabilities since the last annual reporting date.

NOTE 8: EVENTS SUBSEQUENT TO REPORTING DATE

Board Changes

On 8 November 2013 the Company announced that Mr Richard Hayward intended to resign as a Director with effect from 30 November due to other work commitments. Subsequently, Company advised that Mr Rodney Bresnehan had resigned and on 18 November 2013 Triple announced the appointment of Mr Greg Meldrum as a new independent non-executive director.

Tranche 1 Performance Shares

On 19 November 2013 Triple announced that 50,000,000 Tranche 1 performance shares automatically converted into 5 new fully paid ordinary shares, in accordance with their terms and conditions, the terms of the Sale and Purchase Agreement pursuant to which they were issued and in line with advice received from the relevant independent expert that the relevant milestone identified in that agreement had not been met as at the milestone date.

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DIRECTORS’ DECLARATION

In the opinion of the Directors of Triple Energy Limited (‘the Company’):

1. The financial statements and notes thereto, as set out on pages 7 to 17, are in accordance with the Corporations Act 2001 including:

2. a. complying with Accounting Standard AASB 134: Interim Financial Reporting and the Corporations Regulations; and

3. b. giving a true and fair view of the Company’s financial position as at 30 September 2013 and of its performance for the half-year then ended.

4. there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable.

This declaration is signed in accordance with a resolution of the Board of Directors made pursuant to s.303 (5) of the Corporations Act 2001.

Paul Underwood

Executive Chairman 12 December 2013

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INDEPENDENT AUDITOR’S REVIEW REPORT

To the members of Triple Energy Limited

Report on the Condensed Half-Year Financial Report

We have reviewed the accompanying half-year financial report of Triple Energy Limited (“the company”) which comprises the condensed statement of financial position as at 30 September 2013, the condensed statement of comprehensive income, condensed statement of changes in equity and condensed statement of cash flows for the half-year ended on that date, notes comprising a summary of significant accounting policies and other explanatory notes and the directors’ declaration of the consolidated entity comprising the company and the entities it controlled at the half-year end or from time to time during the half-year.

Directors’ responsibility for the half-year financial report

The directors of the company are responsible for the preparation of the half-year financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the half year financial report that is free from material misstatement, whether due to fraud or error.

Auditor’s responsibility

Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity , in order to state whether, on the basis of the procedures described, we have become aware of any matter that makes us believe that the half-year financial report is not in accordance with the Corporations Act 2001 including: giving a true and fair view of the consolidated entity’s financial position as at 30 September 2013 and its performance for the half-year ended on that date; and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 . As the auditor of the company, ASRE 2410 requires that we comply with the ethical requirements relevant to the audit of the annual financial report.

A review of a half-year financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

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HLB Mann Judd (WA Partnership) ABN 22 193 232 714 Level 4, 130 Stirling Street Perth WA 6000. PO Box 8124 Perth BC 6849 Telephone +61 (08) 9227 7500. Fax +61 (08) 9227 7533. Email: hlb@hlbwa.com.au. Website: http://www.hlb.com.au Liability limited by a scheme approved under Professional Standards Legislation

HLB Mann Judd (WA Partnership) is a member of

International, a worldwide organisation of accounting firms and business advisers.

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Independence

In conducting our review, we have complied with the independence requirements of the Corporations Act 2001 .

Conclusion

Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the half-year financial report of Triple Energy Limited is not in accordance with the Corporations Act 2001 including:

• a) giving a true and fair view of the consolidated entity’s financial position as at 30 September 2013 and of its performance for the half-year ended on that date; and

• b) complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 .

Continuation as a Going Concern

Without qualifying our opinion, we draw attention to Note 1 to the financial statements which indicates that the Group will require additional sources of funding to enable it to continue to fund its and the consolidated entity’s operations and further develop its resource asset during the twelve month period from the date of this financial report. In the event the Group is unsuccessful in deriving sufficient additional funding, there would exist material uncertainty that may cast significant doubt whether the company would be able to continue as a going concern and therefore whether it would be able to realise its assets and extinguish its liabilities in the normal course of business at the amounts stated in the interim financial report.

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HLB Mann Judd Chartered Accountants

N G Neill Partner

Perth, Western Australia 12 December 2013

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