The company’s key short-term objectives were to make a Cooper Basin discovery to replace reserves and to secure new high-quality opportunities in prospective areas, said Cooper CEO Michael Scott.

Cooper’s strong production and cash position was supporting the search for reasonably priced domestic and international new business opportunities, according to Scott.

“Cooper is actively searching for new business to support its growth aspirations and is currently in negotiation for several high-value opportunities,” he said.

Boosted by the tie-in of the Christies-2, Christies-3 and Worrior-2 development wells, Cooper had a 500% revenue increase and 324% increase in oil production over the half year to December 31 2004.

Oil production of 140,789 barrels for the half year to 31 December 2004 represents 18% more oil than the 119,041 barrels produced by the company in the whole of the last financial year, and 324% more than the 33,221 barrels produced in the corresponding period last year.

Revenue received from oil sales increased by approximately 500% to $8.7 million, compared to $1.4 million to the half year ended 31 December 2003.

Record production and revenue enhanced Cooper’s cash reserves to $12.42 million with cash in-hand of $10.35 million, said Cooper CEO, Michael Scott.

“Revenue from oil sales continued to benefit from high oil price volatility and is a testimony to the company’s unhedged oil strategy,” Scott said.

“If the oil price remains buoyant we envisage the current level of cash generation being sustained and our activities continuing to be fully funded from operational cash flow.”

Looking forward, the company recently completed a major seismic interpretation over its six Cooper Basin blocks revealing over 90 leads and prospects. Out of this portfolio, the company has committed to drill a minimum of five ‘high quality prospects’ in 2005.

The first exploration well of this program, Kitson-1 in PEL88, will be drilled in April 2005 to test P50 undiscovered oil reserves of 2-15 million barrels.