escapes the states. , page-14

"Comet Ridge Ltd retains a 40% interest in the Mahalo project in the Bowen Basin of Queensland, 100% interest in two large permits in the Galilee Basin in central Queensland and 60 to 70% interest in two permits in the Gunnedah Basin of northern NSW."

"A large contingent CSM gas resource (an upside case of 1,000 petajoules of gas in place) has been delineated at Mahalo and further investment in this project is warranted. The two Galilee Basin permits are prospective for both CSM and deeper conventional oil and gas. A recently completed internal assessment of the potential in-place CSM resource indicates that in excess of 35,000 petajoules of gas may possibly be trapped in the Permian aged coals underlying the 100% owned Galilee Basin permits. These projects are well located with respect to announced infrastructure developments including a number of potential LNG projects at Gladstone in Queensland and warrant an aggressive exploration program."

These are still excellent assets owned by COI. In fact I wouldn't be surprised a takeover offer for COI could result based on recent transactions.

However, the way I see it, COI will still be cash strapped with respect to proving up reserves on these assets.

The way I seen it before it was:

1. Drill Florence;
2. With cash flow from Florence oil drill more Florence targets;
3. With cash flow from multiple Florence wells drill Greys Harbour;
4. With cash flow from Florence and Greys Harbour progress COI other projects.

With oil at $130 a barrel COI could have generate good cash flow if they were sucessful at Florence.

Now I don't see anything eccept maybe a takeover or farmout of COI's Australian Assets. They are still extremely valuable. It remains to be seen what COI can do with them.

Regards

SP