Mahalo Gas Project

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Mahalo JV Gas Project

PL 1082 and 1083
PCA 302, 303 and 304

Overview:

Joint Venture between Comet Ridge (57.14%) and Santos (42.86%).
Located in the Dension Trough, approximately 240km west of Gladstone in the southern Bowen Basin.
The initial focus for development of the Project will be in the two Petroleum Lease (PL 1082 and PL 1083) areas that were awarded June 2020.
The project has been heavily appraised to date, with strong flow rates achieved and reserves independently certified.

Strong project fundamentals:

Fully licenced – development ready with Petroleum Leases and environmental approvals granted.
Shallow depth – between approximately 180 to 400 metres to target coals (low drilling and completion costs).
Permeable coals – Mahalo 7 and Mira 6 short lateral pilot wells flowed between 1200 to 1500 standard cubic feet of gas per metre of coal intersected.
Very low water production – resulting in lower capex and opex.
No coal or clay fines production – reducing workover opex.
High gas quality – pipeline spec gas and almost no CO₂ (measured at only 0.05%).
Close to infrastructure – approximately 80km connection to GLNG and Jemena pipelines to Gladstone.

as Reserves and Resources – Comet Ridge’s net 57.14% interest in Mahalo Joint Venture Project Gas Reserves and Contingent Gas Resources at 30 June 2025 is shown in Table 2 below.

Development activities – During the second half of FY2025, Comet Ridge participated in two project FEED processes which are a precursor to FID on the Mahalo JV Gas Project. These two FEED processes involve the Upstream FEED component being managed by Santos (Mahalo JV Operator) and the Pipeline FEED component being managed by Jemena.

Pipeline Feed – In March 2025, the Mahalo JV participants (Comet Ridge and Santos) executed an agreement with Jemena Queensland Gas Pipeline (1) Pty Ltd and Jemena Queensland Gas Pipeline (2) Pty Ltd (collectively, Jemena) to undertake FEED on a new Mahalo Gas Hub Pipeline (MGHP). Jemena may construct the MGHP on a BOO basis once Pipeline FEED is completed and the Mahalo JV Gas Project achieves FID. Pipeline Survey Licence (PSL) 2066, a pre-cursor licence to a Petroleum Pipeline Licence was granted to Jemena in July 2025. Jemena is progressing work studies for both technical and approval scopes, including engagement with local stakeholders.

Upstream Feed – Upstream FEED comprises subsurface (design and layout of production wells), gathering systems, gas and water handling facilities, procurement and access and approvals. The Operator, Santos, has materially progressed its subsurface definition phase work which aligns well with Comet Ridge internal modelling. Gas and water facilities FEED work is well-progressed by the external contractors undertaking these work packages. Over the next quarter, scouting of all properties is planned to be completed as well as cultural heritage surveys. An Environmental Authority (EA) amendment will be submitted to Queensland Government for approval.

Both FEED studies will continue through CY2025, followed by assurance activities in Q1 CY2026 by the Mahalo JV Operator as a precursor to Project FID.