DENVER, Colorado --Tipperary Corporation (AMEX-TPY), an independent oil and gas company, today announced that the Court of Appeals for the Eighth District of Texas has affirmed a March 11, 2002, order in favor of the Company issued by the 238th District Court of Midland County, Texas. The order held that the Company's subsidiary, Tipperary Oil & Gas (Australia) Pty Ltd (TOGA), was entitled to succeed Tri-Star Petroleum Company as operator of the Comet Ridge coalbed methane project in Queensland, Australia. The Comet Ridge project is currently producing approximately 25 million cubic feet of gas per day. It encompasses 278,000 acres of petroleum leases and the 686,000 acres in ATP 526P, as well as 90,000 acres previously relinquished but recently reacquired and designated ATP 653P.

The underlying litigation is styled Tipperary Corporation and Tipperary Oil & Gas (Australia) Pty Ltd et al v. Tri-Star Petroleum Company et al, Cause No. CV42265. Tri-Star had appealed the lower court's issuance of a temporary injunction prohibiting Tri-Star from continuing to operate and installing TOGA as operator. Among the trial court's findings were that the vote of a majority in interest of non-operators to remove the operator and elect TOGA as successor operator was effective, and that the evidence presented showed a probable right of recovery upon a trial on the merits.

Tri-Star Petroleum Company has also appealed to the Texas Eighth District Court of Appeals the trial court's June 21, 2002, order that certain arbitration provisions are not enforceable and refusing to compel arbitration of audit disputes for the years 1994-95. Briefing and oral argument have been completed, and the case is presently under submission. The underlying case is not currently on the trial docket, and will not be set for trial until the conclusion of the remaining appeal. The ruling of the appellate court means that TOGA will continue to operate until final conclusion of a trial on the merits and thereafter if successful at trial.

Tipperary Corporation is an independent energy company involved in exploration for, and production of, coalbed methane and conventional natural gas. Together with its affiliates, Tipperary holds a 73% interest in southeastern Queensland's Comet Ridge project and holds other exploration permits in Queensland totaling approximately 720,000 acres. Domestically, Tipperary holds varying interests in several exploration projects in Colorado covering approximately 500,000 acres.

Information herein contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which can be identified by words such as "may," "will," "expect," "anticipate," "estimate" or "continue," or comparable words. In addition, all statements other than statements of historical facts that address activities that Tipperary expects or anticipates will or may occur in the future are forward-looking statements. Readers are encouraged to read the SEC reports of Tipperary, particularly its Annual Report on Form 10-KSB for the Year Ended December 31, 2001, for meaningful cautionary language disclosing why actual results may vary materially from those anticipated by management.