this weeks blackboard special...

CKK has ground breaking technology which offers the rigging crew real time data during the drilling of offshore wells, which ultimately could save the oil and gas industry billions of dollars.

With offshore rig hire costs at $1M/day a company stands to save 1-2 days on rig hire by utilising CKK's Core Level Recorder System. If this technology is proven to be commercially successful it will be a company maker for CKK and could potentially spark a takeover offer/bidding war from global oil field service companies...

FAST FACTS

◆ Before the Core Level Recorder System (“CLRS”) was completed Imdex were prepared to pay over 50cps for CKK

◆ At current prices a MAJOR could take CKK out and have their investment paid for in approximately 10 wells (sooner if side track wells are required)

◆ CKK's patented technology will be available worldwide- In Australia up to 100 offshore wells per year are drilled

◆ CKK is currently in advanced negotiations with a global oil and gas company regarding use of the CLRS and expects to announce its first commercial job in the very near future

◆ Once the technology is proven to be commercially successful oil field service companies like Halliburton, Baker Atlas or Schlumberger IMO will launch a takeover bid for Coretrack

RECENT NEWS HIGHLIGHTS

8 OCTOBER 2009

CORETRACK COMPLETES CUTTING EDGE, WORLD FIRST CORING TECHNOLOGY

• Coretrack completes cutting edge, world first coring technology
• Discussions regarding potential corporate transactions gaining traction

Coretrack Limited is pleased to announce that after three years of meticulous R&D, building of the Core Level Recorder System (“CLRS”) has been completed. The tool completion follows years of dedicated research and development, as well as advanced bench and well testing of crucial tool components. During this period, the well testing was conducted with the assistance of a number of major national and international oil companies both in Australia and abroad.

Mr van ‘t Riet also noted, “the Company is continuing to make promising progress discussing potential corporate transactions with several third parties. If these discussions, which are currently gaining traction, can be concluded successfully, I feel that we have the potential to catapult the Company into becoming a major industry participant”.

20 OCTOBER 2009

Nanne van ‘t Riet, Coretrack’s Managing Director, today
commented: “Coretrack is on the cusp of entering a new and exciting phase and the Company anticipates making an announcement regarding its first coring job, providing core acquisition data in real time, in the near future.

24 NOVEMBER 2009

Coretrack is also pleased to announce that it is currently in advanced negotiations with a global oil and gas company to commercially run the Core Level Recorder System as part of its coring program. It is anticipated that Coretrack will be in a position to make an announcement regarding its first commercial job in the very near future.

ABOUT THE TECHNOLOGY

Getting to the core
Marija Zivkovic
Thursday, 16 July 2009

Van’t Riet says this is particularly important for the offshore oil and gas industry as it can bring significant cost savings.

“The guys on the rig floor get accurate data on what’s happening inside the core barrel so they know exactly when to keep going or when to ‘trip’ out.

“A single ‘trip in’ and ‘trip out’ in the offshore environment where rig rates are about $40,000 to $50,000 per hour can be very costly as the trip in-trip out process itself can take 10 to 15 hours. If you are tripping in and out unnecessarily because of a lack of real-time data, you’re looking at half a million dollars easily because you’ve tripped out when you shouldn’t have. The financial consequences can be even more severe if you have to drill a deviated well because you have accidentally milled the original formation away on the first go,” he said.

“Then you have to drill a deviated well to get the formation you were after in the first place and that could cost multiple millions of dollars.”

http://coretrack.com.au/images/file/2009-07-16%20PNN%20Getting%20to%20the%20core.pdf

INTERESTING LINKS

Broadcast of 2009 AGM Presentation:
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01015773

Investor Presentation:
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01014411

Broker Valuation:
http://pegasuscorporate.com/Coretrack_April_2009.pdf

JB