Karoon continues to take giant leaps for what still is a very small company, signing itself up for some brand new real estate in an attractive, oil and gas producing basin offshore Brazil where – as it does with its local Browse acreage – it will be mixing it with the Big Boys.

Karoon Gas Australia Ltd (ASX: KAR) has completed the placement of 14.8 million fully paid
shares at an issue price of $A3.45 a share to sophisticated and professional investors through
Southern Cross Equities, BBY Ltd, EL&C Baillieu and Intersuisse.

Karoon Gas Australia Ltd is pleased to announce that it has entered into an agreement with Woodside Energy Ltd to acquire its 66.67% interest in petroleum permit AC/P8 for the purchase price of A$1 million. The permit is located in the Australian waters of the Timor Sea approximately 500 kms north west of Darwin.

BROWSE Basin partners ConocoPhilips and Karoon Gas have identified a gas prospect considered "especially important" for the future exploration of their three offshore Browse Basin permits.

It is the boom that won't go away. China's relentless drive to industrialise and modernise continues to flow through to our own economy. It has sparked a surge in the prices of some commodities and it is the key factor in the sharp appreciation in the share prices for much of our resources sector and related stocks.

From "The Australian"

IT'S not too long ago that the hottest ticket in town was a share in a uranium hopeful. Lately, as noticed by more than just a few market experts, there has been a big change in the dynamics of the sector as the uranium price retreats from its highs attained during 2006-07...

 KAR is a junior player in the high growth LNG sector with enormous upside potential. It is well positioned with highly prospective offshore Browse Basin acreage, a world ranking JV partner in ConocoPhillips, substantial net cash and proven management. The KAR investment proposition is high risk for very high reward. A potential $20-$40 share price could result over time from a successful outcome of Browse drilling, yet the company has a management capable of identifying other value adding opportunities in oil and gas if not successful.

Karoon Gas is a 49% interest holder in oil and gas exploration permits WA-314-P and WA-
315-P and a 40% interest holder of WA-398-P in the offshore Browse Basin located 350 km
offshore from the North-Western Australian coastline.

 One of the big growth areas in Australian resources is liquefied natural gas (LNG), with plenty of
additional investment in fields and pipelines, and one city hoping for some benefit from the resource is Darwin.

MELBOURNE-BASED Karoon Gas must be wondering what it has to do to please the market. Last week it was able to confirm its involvement in a $200 million offshore drilling program in one of the hottest basins off the West Australian coast.

Buyers are desperate for Australia's natural gas, writes Stephen Wisenthal.

The gas fields on a petroleum map of the West Australian coast near Karratha look like a chain of
huge red islands spanning hundreds of kilometres of ocean. And the exploration blocks around them have become some of the most expensive real estate in the country as big energy companies clamour for a piece of the liquefied natural gas ((LNG) boom...

COAL king Ken Talbot is continuing to diversify his personal holdings following recent forays into
uranium exploration with a plunge into the search for oil and gas.

Talbot Group Holdings yesterday pumped $26.4 million into Karoon Gas Australia in a punt on it
becoming a gas producer at Browse Basin off the West Australian coast.

An unprecedented bidding war is under way off WA's North-West coast as some of the world's biggest energy companies lock horns in a race for access to the State's untapped gas riches.

Amid predictions of a looming global LNG supply crunch, US energy giant Hess Corporation has agreed to spend a record $500 million on exploration over the next three years to secure its first permit in WA's North-West gas heartland, just a stone's throw from the giant Gorgon gas project.

JUNIOR explorer Karoon Gas says recent seismic data indicates the potential for over 20
trillion cubic feet of gas and associated liquids in the company's Browse Basin permits,
WA-314-P and WA-315-P, which were recently farmed-out to Darwin LNG operator
ConocoPhillips.