• Comet Ridge formally awarded ATP 2048 by Queensland Government
• Large 450 km² block, close to infrastructure, 100% interest
• Initial Environmental Authority granted
• Native Title agreement formally executed
• Technical & Planning work continuing on high quality fairway running from Mahalo up into Mahalo North block

Location of ATP 2048, Mahalo North and ATP 1191, Mahalo Gas Project (Map source: Comet Ridge)

After being awarded preferred tenderer status in late October 2019, Comet Ridge has now met the conditions to be awarded the Authority to Prospect No 2048 (ATP 2048) by Queensland’s Department of Natural Resources, Mines and Energy (DNRME).

The two most significant steps since being awarded preferred tenderer status in late 2019, were obtaining the Environmental Authority (EA) from the Department of Environment and Science and concluding a formal Native Title Agreement with the registered Native Title Claimant. These have now been completed, clearing the way for DNRME to formally award the block to Comet Ridge Mahalo North Pty Ltd as 100% equity holder.

Comet Ridge Chairman, James McKay, said today opens a new chapter in the progression of Comet Ridge from explorer to a producing company. This is the first block the Company has held as operator that is close to infrastructure, with 100% equity. The block is not only large and highly prospective, but sits just north of the Mahalo JV area, where Comet Ridge is already 40% equity holder. From its time as Exploration Operator of Mahalo, Comet Ridge has a deep geologic understanding and a significant amount of geological data from the area.

Comet Ridge Managing Director, Tor McCaul said that whilst work was progressing over the past five months on gaining the required approvals, technical subsurface work has continued. This additional subsurface analysis, combined with optimisation of well design and an ongoing review of additional third party seismic that runs through both Mahalo and Mahalo North, has allowed Comet Ridge to increase its confidence in the extension of the production fairway from Mahalo into the Mahalo North acreage.

Based on the extensive data set within the Mahalo Gas Project, Comet Ridge has modelled that a dual lateral well in this fairway, if drilled to 1500m in length, could flow in the range of 2 to 3 MMscf/d (millions of standard cubic feet of gas per day). This is consistent with upscaling of the observed well performance from the much shorter Mahalo 7 and Mira 6 lateral wells and will be refined following testing of the initial Mahalo North pilot wells. Both the Mahalo 7 and Mira 6 lateral wells at Mahalo, although drilled in the same highly prospective fairway at the same depth range, were significantly shorter wells than is currently planned for Mahalo North.

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