Current Activities
TME reports that seven (7) wells (4-Onshore & 3-Offshore) are being drilled on company royalty interest properties in Australia.

September 21, 2004
The No. 1 Hornet well on the TME, PEL 115 Royalty has been reported to contain a 100 foot Net gas pay section in the Patchawarra formation. The well is being cased with 7 inch production casing in preparation for testing. A production report is anticipated during November. The well experienced numerous high gas flows during drilling of the formation and logging has confirmed the presence of these gas zones.

The second well on the PEL 115 is scheduled to begin drilling in ten days. This will be the second well of a three well program scheduled for the PEL 115.

Another well is scheduled to drill during November on the PEL 111. The Operator for these onshore wells is Victoria Petroleum N.L.

For more information.

Two wells will be drilled on one of TME offshore properties beginning in October. The Operator for these wells is Apache Corp. The wells will be located on VIC P-54, Gippsland Basin, Bass Straits, Australia.

Another offshore well is planned for TME's VIC P-45 and is to be drilled in December by the Operator, BHP Billiton.

Additional royalty interests are being acquired in Australia as well as drillable prospects with huge upside or "company maker" reserve potential.

The company has royalty interests in more than 4,183,000 acres located in two-world class petroleum basins in Australia, the Cooper-Eromanga Basin and the Gippsland Basin. Financial and management assets are currently being concentrated in acquiring Australian Oil and Gas Royalty and Working Interests. Potential domestic U.S. assets are under constant review and will be added to the company asset base as properties that meet certain reserve potentials are identified.

International (Australia)
Substantial holdings have been acquired in two world class petroleum basins. The Cooper-Eromanga Basin (Onshore) located in the state of South Australia and the Gippsland Basin (Offshore) located in the Bass Straits and offshore to the State of Victoria.

Offshore
The Company has acquired royalty holdings in 553,430 acres in the Gippsland Basin. This Basin contains some of the largest fields in the world and wells that are world record Producers. One well in the Halibut Field has produced 60 million bbls. of oil - a world record. Many TCF of natural gas have been produced from fields in this Basin.

Onshore
The Company has acquired royalty and working interest holdings in almost four million acres in the Cooper-Eromanga Basin. To date, this Basin has produced a total of 11 Trillion cubic feet of natural gas and 450 million barrels of oil have been discovered. Since the first gas discovery in 1963, a total of 123 gas fields and 58 oil fields have been discovered.

This Basin was tied up by a consortium for many decades. Millions of acres were unavailable and these have just recently been opened for exploration by other companies.

TME is acquiring additional interests in Australia and anticipates substantial cash flows from these basins as fields are developed and production is achieved.