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METGASCO LTD Capital/Financing Update 2006

Sep 7, 2006

65313_rns_2006-09-07_505d6e7c-d821-4724-a4e9-749c67a5e18b.pdf

Capital/Financing Update

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MARKET RELEASE

8 September 2006

Metgasco Limited

TRADING HALT

The securities of Metgasco Limited (the "Company") will be placed in preopen at the request of the Company, pending the release of an announcement by the Company. Unless ASX decides otherwise, the securities will remain in pre-open until the earlier of the commencement of normal trading on Tuesday, 12 September 2006 or when the announcement is released to the market.

Security Code: MEL

Kim-Ly Nguyen Senior Adviser, Issuers (Sydney)

Australian Company Secretaries Pty Ltd

5EP 8 M10:06

ABN 93 059 273 111

Level 5, 255 George Street GPO Box 4231 Sydney NSW 2001 AUSTRALIA

Phone +61 (02) 9252 1933 +61 (02) 9252 2487 Fax Email [email protected]

Facsimile Cover Sheet

To: Kim Lee Nguyen Company: ASX Fax: 02 9241 7620 From: Nick Geddes Date: 8 September 2006

Pages incl this cover page: 1

Metgasco Limited (MEL)

Dear Kim Lee

This fax serves to confirm my request for an immediate Trading Halt in respect of the above listed notes until Monday 11 September 2006 at which time the Directors of the Company expect to make an announcement regarding a placement.

The Directors are not aware of any reason why a Trading Halt should not be granted.

Sincerely

NICK GEDDE