Vancouver, B.C. – August 14, 2013 – TAG Oil Ltd. (TSX: TAO) and (OTCQX: TAOIF), reports the Company has filed its financial results with the Canadian Securities Administrators for the Company’s June 30, 2013 first quarter fiscal 2014 year. Copies of these documents can be obtained electronically at http://www.sedar.com, or for additional information please visit TAG Oil’s website at http://www.tagoil.com/.
|Q1 2014||Q1 2013|
|Net income prior to share-based compensation
|Earnings per share
|Long term debt
TAG currently has 59,196,752 common shares outstanding and 62,905,086 common shares outstanding on a fully diluted basis.
During the remainder of the 2014 fiscal year TAG will execute the most diverse and active exploration drilling campaign in the Company’s history. This high-impact drilling campaign includes nine conventional wells across three new permits with partner East West Petroleum, plus a minimum of two 100% TAG owned deep Kapuni Formation wells (“Cardiff and Heatseeker”) in the Taranaki Basin, and at least one unconventional well in the East Coast Basin (TAG 100%). Consistent with our corporate strategy, this drilling program will be funded from cash flow provided from TAG’s Cheal and Sidewinder production and a strong, debt-free balance sheet.
TAG’s new Taranaki region production and delivery infrastructure ensures efficient and cost-effective commerciality of any new wells that arise from this drilling program. A summary of the resource potential limited to the twelve prospects included in this drilling program are described below. The Company expects to continue to identify additional resource potential through new lead and prospect generation as analysis of the permit data continues.
TAG Oil will host a discussion of its Q1 2014 financial results and forward program on Wednesday August 14, 2013 at 1:00 pm Pacific Time. Please call in ten minutes before the conference call starts and stay on the line (an operator will be available to assist you should you have questions of management during the call). In addition questions can be forwarded by e-mail in advance to email@example.com.
Interested parties may access the conference call using the information below:
Date August 14th, 2013
Time 1:00pm Pacific Time
Toll-Free Dial-in # 1-877-474-9501
Secondary Dial-in # 1-857-244-7554
Conference Passcode 29103463
E-mail questions to: firstname.lastname@example.org
TAG Oil Ltd. (http://www.tagoil.com/) is a Canadian-based production and exploration company with operations focused exclusively in New Zealand. With 100% ownership over all its core assets, including extensive oil and gas production infrastructure, TAG is enjoying substantial oil and gas production and reserve growth through development of several light oil and gas discoveries. TAG is also actively drilling high-impact exploration prospects identified across more than 2,669,780 net acres of land in New Zealand.
In the East Coast Basin, TAG is exploring the major unconventional resource potential believed to exist in the source-rock formations that are widespread over the Company’s acreage. These oil-rich and naturally fractured formations have many similarities to North America’s Bakken source-rock formation in the successful Williston Basin.
For further information:
The resource estimates in this news release were prepared with an effective date of June, 30, 2013. These estimates have been internally prepared by an internal qualified reserves evaluator in accordance with NI 51-101 and the Canadian Oil and Gas Evaluations Handbook.
TAG Oil has adopted the standard of six thousand cubic feet of gas to equal one barrel of oil when converting natural gas to “BOEs”. BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6Mcf: 1 Bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
Cautionary Note Regarding Forward-Looking Statements:
Statements contained in this news release that are not historical facts are forward-looking statements that involve various risks and uncertainty affecting the business of TAG. Such statements can be generally, but not always, identified by words such as “expects”, “plans”, “anticipates”, “intends”, “estimates”, “forecasts”, “schedules”, “prepares”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. These statements are based on certain factors and assumptions including:
A. All estimates and statements that describe the Company’s objectives, goals, production rates, optimization, infrastructure capacity and or future plans relating to the seismic, testing, work over and drilling programs in the Taranaki, Canterbury and East Coast Basins are forward-looking statements under applicable securities laws and necessarily involve risks and uncertainties including, without limitation: risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, volatility of commodity prices, imprecision of reserve estimates and production guidance, environmental risks, competition from other producers, and changes in the regulatory and taxation environment. These forward-looking statements are based on certain factors and assumptions, including factors and assumptions regarding the management’s views on the oil and gas potential in TAG’s permits, well performance and production rates, the success of any operations, completing infrastructure and the costs necessary to complete the operations; and
B. Those relating to TAG Oil’s exploration and development of its oil and gas properties within the Cheal and Sidewinder project areas, the production and establishment of additional production of oil and gas in accordance with TAG Oil’s expectations at Cheal and Sidewinder, well performance, drilling, the completion of new infrastructure at Cheal and Sidewinder, optimization, the increase of cash flow from new production, expected growth, results of operations, performance, prospects, evaluations and opportunities. While TAG Oil considers these factors and assumptions to be reasonable based on information currently available, they may prove to be incorrect. Actual results may vary materially from the information provided in this release, and there is no representation by TAG Oil that the actual results realized in the future will be the same in whole or in part as those presented herein.
TAG Oil is involved in the exploration for and production of hydrocarbons, and its property holdings with the exception of the Cheal and Sidewinder project areas are in the grass roots or primary exploration stage. Exploration for hydrocarbons is a speculative venture necessarily involving substantial risk. There is no certainty that the expenditures incurred on TAG Oil’s exploration properties will result in discoveries of commercial quantities of hydrocarbons. TAG Oil’s future success in exploiting and increasing its current reserve base will depend on TAG Oil’s ability to develop its current properties and on its ability to discover and acquire properties or prospects that are producing. There is no assurance that TAG Oil’s future exploration and development efforts will result in the discovery or development of additional commercial accumulations of oil and natural gas.Other factors that could cause actual results to differ from those contained in the forward-looking statements are also set forth in filings that TAG and its independent evaluator have made, including TAG’s most recently filed reports in Canada under National Instrument 51-101, which can be found under TAG’s SEDAR profile at www.sedar.com.
TAG undertakes no obligation, except as otherwise required by law, to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors change.