Comet Ridge Spuds Queensland CSG Well

Comet Ridge Limited has commenced drilling at its ATP 337P Mahalo asset in Queensland's Bowen Basin with the spudding of Mahalo 3.

The well lies approximately 260km west of Gladstone in central Queensland and will target the coals in the shallow Bandanna Formation, with drilling expected to reach a total depth of approximately 300 metres.

Comet Ridge has a 35% interest in ATP 337P Mahalo, having divested a 5% interest in the asset in late 2011. Under the terms of that divestment, Stanwell Corporation Limited will fund Comet Ridge's future expenditure at ATP 337P Mahalo up to A$8 million.

The objective of the Mahalo 3 well is to gather additional coal property data across the northern portion of the block, where reserves are being targeted. The well may also be completed as a producer.