VANCOUVER, Jan. 23, 2013 /PRNewswire/ - TAG Oil Ltd. (TSX: TAO and OTCQX: TAOIF), is pleased to announce the Company's anticipated 2013 Taranaki Basin drilling program within the Cheal and Sidewinder fields, and within TAG's newly awarded acreage. This drilling campaign is expected to consist of a minimum 13 wells, and will continue to target the Mt. Messenger/Urenui Formation targets, as well as deeper high-impact targets in the Kapuni Formation.
TAG's CEO, Garth Johnson, stated "Building on our string of success in 2011 and 2012 and driving revenue as a result, we expect calendar 2013 to be another exciting and transformational year for TAG. With a record number of wells to drill in Taranaki as well as plans for the upcoming drilling in the East Coast Basin, I'm confident our plans will continue to become our reality."
TAG has enjoyed significant growth in the last two years, drilling 21 consecutive successful wells in Taranaki. Given this success, and the correlative increase in operating cash flows, TAG will now begin to include a higher risk, higher impact deep drilling component to its Taranaki Basin exploration efforts.
The deeper wells will target the Kapuni Formation, which is a proven prolific play in Taranaki and where most of New Zealand's landmark onshore and offshore fields have been discovered, including the large Maui, Kapuni and Mangahewa fields. TAG holds a number of attractive Kapuni prospect opportunities within its portfolio, including the Cardiff prospect where gas-rich condensates were discovered and tested within a 600m interval in the Kapuni Formation in 1992. TAG will contract Ensign Drilling's Deep Rig #31 to drill one or more deep prospects including Cardiff, which are tentatively scheduled to commence in May 2013.
TAG Oil Ltd.
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 2,953,810 net acres of land in New Zealand.
In the East Coast Basin, TAG is pursuing the major unconventional resource potential believed to exist in the tight oil 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.
TAG Oil has adopted the standard of six thousand cubic feet of gas to equal one barrel of oil when converting natural gas to "BOE's". 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.
SOURCE TAG Oil Ltd.
To access over 3,000 of the latest oil projects from across the world visit Projects OGP for free trial today