Coconut Orange Cake

1/2 cup coconut
1/2 cup milk
125g butter
1 cup caster sugar
1 tbsp grated orange rind
2 eggs
1 1/2 cups self raising flour
1/2 cup milk extra

Combine coconut and milk in a bowl, stand 1 hour
Cream butter, sugar and orange rind until light and fluffy.
Beat in eggs one at a time.
Stir in sifted flour, coconut mixture and milk alternately. (The mixture will appear curdled at this stage)
Bake in a well-greased tin, 50-60 minutes in a moderate oven.
Ice as desired.