DENVER, Colorado --Tipperary Corporation (AMEX-TPY), an independent oil and gas company, announced that on March 22 it assumed operation of the Comet Ridge coalbed methane project in Queensland, Australia pending resolution of the related litigation. The action was in accordance with orders issued by the 238th Judicial District Court in Midland County, Texas that granted the application of the Company and others for a temporary injunction requiring the present operator of the project to turn over operations to Tipperary.

The trial court also found that the evidence presented by the Company and other applicants at the injunctive hearing showed a probable right of recovery upon a trial on the merits, currently scheduled for April 29, 2002. The defendants have appealed the injunctive orders to the Eighth District Court of Appeals in El Paso, Texas, Cause No. 08-02-00107-CV. They also sought from both the lower court and the appellate court a stay of enforcement of the injunctive orders, although the requests were denied by both courts. The filing of the appeal has the effect of postponing the trial date of April 29, 2002, unless the appeal is concluded before that time. Although the appeal will be heard on an expedited basis, the Company cannot predict when it will be concluded.

The right of the Company and other non-operators to remove the operator and install a successor operator has been the subject of litigation styled Tipperary Corporation and Tipperary Oil & Gas (Australia) Pty Ltd., et al v. Tri-Star Petroleum Company et al, Cause No. CV42265.

David Bradshaw, Tipperary CEO, said, "We have invested the majority of our resources over the last several years in the Comet Ridge project and are pleased to have the opportunity to begin implementing measures that we believe will reduce costs. We hope that a final resolution of the lawsuit can be reached within the next few months that is consistent with the court's rulings to date."

Tipperary Corporation is an independent energy company focused primarily on exploration for, and production of, coalbed methane and conventional natural gas. Headquartered in Denver, Colorado, Tipperary owns 90% of Queensland, Australia-based Tipperary Oil & Gas (Australia) Pty Ltd. This subsidiary, which holds a 65% interest in southeastern Queensland's Comet Ridge coalbed methane project, also holds other exploration permits in Queensland totaling approximately 1.5 million acres. Domestically, Tipperary holds interests in several exploration projects in Colorado and Wyoming covering 385,000 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" "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(A) for the Transition Period Ended December 31, 2000, for meaningful cautionary language disclosing why actual results may vary materially from those anticipated by management.