METGASCO LTD — Director's Dealing 2006

Oct 8, 2006

Appendix 3X

Rule 3.19A.1

Initial Director's Interest Notice

Information or documents not available now must be given to ASX as soon as available. Information and documents given to ASX become ASX's property and may be made public.

Introduced 30/9/2001.

Name of entity	METGASCO LTD
ACN	088 196 383

We (the entity) give ASX the following information under listing rule 3.19A.1 and as agent for the director for the purposes of section 205G of the Corporations Act.

Name of Director	NICHOLAS HEATH
Date of appointment	3 OCTOBER 2006

Part 1 - Director's relevant interests in securities of which the director is the registered holder

In the case of a trust, this includes interests in the trust made available by the responsible entity of the trust

Note: In the case of a company, interests which come within paragraph (i) of the definition of "notifiable interest of a director" should be disclosed in this part.

Number & class of securities

50,000 FULLY PAID ORDINARY SHARES

100,000 \$0.30 OPTIONS (SUBJECT TO SHAREHOLDER APPROVAL)

150,000 \$0.50 OPTIONS (SUBJECT TO SHAREHOLDER APPROVAL)

⁺ See chapter 19 for defined terms.

Part 2 - Director's relevant interests in securities of which the director is not the registered holder

In the case of a trust, this includes interests in the trust made available by the responsible entity of the trust

Name of holder & nature of Number & class of Securities interest Note: Provide details of the circumstances giving rise to the relevant interest.
NА

Part 3 - Director's interests in contracts

Note: In the case of a company, interests which come within paragraph (ii) of the definition of "notifiable interest of a director" should be disclosed in this part.

Detail of contract	NA
Nature of interest
Name of registered holder (if issued securities)
No. and class of securities to which interest relates

$+$ See chapter 19 for defined terms.