VANCOUVER, BC, July 31,
2023 /CNW/ - TAG Oil Ltd. (TSXV: TAO)
and (OTCQX: TAOIF) ("TAG Oil" or the
"Company") is pleased to report the filing of its financial
results for the fiscal year ending March 31,
2023. A copy of TAG Oil's financial statements, management
discussion and analysis, and annual information form for its most
recently completed financial year are available on SEDAR
(www.sedarplus.ca) and on the Company's website.
Highlights over the period include that the Company had
C$19.5 million (March 31, 2022: C$13.3
million) in cash and cash equivalents and C$21.6 million (March 31,
2022: C$15.4 million) in
working capital and has no debt. TAG Oil continues to manage
its costs and allocate the necessary resources towards its business
development efforts in Egypt and
other areas in the Middle East and
North Africa ("MENA") region.
Operationally, the Company's preliminary BED 1-7 vertical well
test of the Abu-Roash "F" ("ARF") reservoir in the Badr Oil Field
("BED-1") was successful and achieved the Company's objectives for
the well. Throughout the process, TAG Oil's team gained significant
knowledge about operations in the Western Desert of Egypt that will be utilized for the first
horizontal well, BED4-T100 ("T100"). Since the BED 1-7 well started
production cumulative oil production from the well to date is over
6,000 barrels of 23-degree API oil.
Following completion of the BED 1-7 well test operations, the
Company was able to secure a suitable drilling rig for the T100 in
BED-1 horizontal well, which is designed with a multi-stage
fracture stimulation completion of the ARF formation. The Company
has since commenced mobilizing the rig to the T100 location at
BED-1 and the well is scheduled to commence drilling in August. The
Company will provide detailed drilling and completion updates in
due course.
The Company is also pleased to announce the promotion of four
members of the Company's highly experienced technical and
procurement team to TAG Oil's corporate group, which will serve to
strengthen operations Egypt and
the broader MENA region. TAG Oil also announces the grant of
1,800,000 stock options that are exercisable for a period of five
years at a price of C$0.70 per share
to various staff members, and certain officers and directors.
About TAG Oil Ltd.
TAG Oil (http://www.tagoil.com/) is a Canadian based
international oil and gas exploration company with a focus on
operations and opportunities in the Middle East and North Africa.
Neither the TSX-V nor its Regulation Services Provider (as
that term is defined in the policies of the TSX-V) accepts
responsibility for the adequacy or accuracy of this
release.
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 Oil.
All estimates and statements that describe the Company's operations
are forward-looking statements under applicable securities laws and
necessarily involve risks and uncertainties. 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 undertakes no obligation, except as
otherwise required by law, to update these forward-looking
statements if management's beliefs, estimates or opinions, or other
factors change.
Exploration for hydrocarbons is a speculative venture
necessarily involving substantial risk. The Company's future
success in exploiting and increasing its current resource base will
depend on its ability to develop its current properties and on its
ability to discover and acquire properties or prospects that are
capable of commercial production. However, there is no assurance
that the Company's future exploration and development efforts will
result in the discovery or development of additional commercial
accumulations of oil and natural gas. In addition, even if further
hydrocarbons are discovered, the costs of extracting and delivering
the hydrocarbons to market and variations in the market price may
render uneconomic any discovered deposit. Geological conditions are
variable and unpredictable. Even if production is commenced from a
well, the quantity of hydrocarbons produced inevitably will decline
over time, and production may be adversely affected or may have to
be terminated altogether if the Company encounters unforeseen
geological conditions. The Company is subject to uncertainties
related to the proximity of any resources that it may discover to
pipelines and processing facilities. It expects that its
operational costs will increase proportionally to the remoteness
of, and any restrictions on access to, the properties on which any
such resources may be found. Adverse climatic conditions at such
properties may also hinder the Company's ability to carry on
exploration or production activities continuously throughout any
given year.
This press release includes cumulative production rates for a
certain well over short period of time. Short term production rates
are preliminary, subject to a high degree of predictive
uncertainty, and not determinative of the rates at which those or
other wells will continue to produce and thereafter decline. Short
term test rates are not necessarily indicative of long-term well or
reservoir performance or of ultimate recovery. Production over a
longer period will experience natural declines, which can be high
and may not be consistent over a longer period. Actual results will
differ from those realized during an initial production period and
the differences may be material.
References to "oil" in this press release include crude oil
and field condensate.
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SOURCE TAG Oil Ltd.