Corser and Okada were quickest for most of the session but with 20 minutes remaining Ruben Xaus let it all hang out and went 3 seconds quicker than anyone.  

Parkes was 7th quickest with 15 minutes remaining while Craggill and Martin were 10th and 11th respectively.

Corser upped the pace with 10 minutes to go but couldn't quite manage to match the time of 1m46.381s set earlier in the session by Ruben Xaus.

But with 5 minutes to go Bayliss went to the top of the time-sheets with a 1m46.273s lap.  Bostrom went and mowed some grass with 3 minutes left in the session but kept the Ducati upright and re-joined the track okay.

With 2 minutes remaining Xaus upped the ante once again with a 1m46.061s lap and then backed it up on the next lap by nearly recording exactly the same time even though he had quite a sideways snap coming out of MG Hairpin which forced him off the throttle momentarily.

On the final flying lap Xaus went quicker again to set a 1m45.212s lap, a second faster than anyone else.  "I had so many problems yesterday so this is a very good result, with wet, dry and wind all mixed together, Phillip Island becomes a very difficult track.  But if it's wet tomorrow, I hope to have a very good race".

1. Ruben Xaus 1m45.212s 
2. Troy Bayliss 1.061s
3. Colin Edwards 2.472s
4. Troy Corser 3.223s
5. Juan Borja 3.702s
6. Neil Hodgson 4.050s
7. Izutsu 4.282s
8. Okada 4.282s
9. Laconi 4.662s
10. Yanagawa 5.582s
11. Martin 6.236
12. Toseland 6.298s
13. Maxwell 6.808s
14. Parkes 7.512s
15. Lavilla 8.063s
16. Chili 8.128s
17. Chambon 8.438s
18. Nowland 8.500s
19. Stey 8.665s
20. Bostrom 8.668s
21. Malatesta 8.720s
22. Craggill 8.876s
23. Sanchini 9.096s
24. Holon 9.721s
25. Bussei 10.096s
26. McKay 11.294s
27. Webster 11.986s
28. Wallis 12.418s
29. Ulm 12.436s
30. Pedercini 13.155s
31. Borciani 14.916s
32. Normoyle 33.421s

Have a look at Friday Practice for the faster dry times