Comet Ridge Limited (COI)

Comet Ridge is a pre-production gas developer with a market capitalization of approximately A$156 million. The company's primary asset is its significant stake in the Mahalo Gas Hub in Queensland, which holds substantial 2P (proved and probable) gas reserves. Recent performance has been driven by progress on pre-FEED (Front-End Engineering and Design) studies, securing environmental approvals, and navigating the gas pipeline connection process. As a pre-revenue entity, its valuation is based on the size and quality of its certified reserves and the market's confidence in its ability to commercialize them, rather than traditional metrics like revenue or earnings.

COI's growth is entirely dependent on successfully developing the Mahalo Gas Hub and bringing it into production. Key upcoming catalysts include securing a final investment decision (FID), finalizing offtake agreements with gas customers, and securing project financing. The company's strategic direction is to become a key supplier to the structurally short East Coast gas market, which is experiencing high prices and forecast supply deficits. Successful project execution could lead to a significant re-rating from a developer to a producer, but this is contingent on overcoming development, financing, and regulatory hurdles.