VANCOUVER, May 14, 2013 /PRNewswire/ - TAG Oil Ltd. (TSX:
TAO) and (OTCQX:
TAOIF), reports that TAG's 100%-controlled Ngapaeruru-1
exploration
well has reached a total depth of 1417 meters after
successfully
drilling through the Waipawa and Whangai source rock formations,
the
main objective of the well.
Excellent mud gas shows - which indicate the presence of gas zones
or
soluble gas in oil - were recorded between the intervals of 1140
-
1295m (155m gross hydrocarbon column). Preliminary gas ratio
analysis
interprets a predominantly wet gas / oil signature. All data has
now
been forwarded to independent laboratories for expert
analysis.
In addition, TAG Oil cut and recovered sidewall cores over 14
separate
intervals within the 155 meters of potential unconventional oil and
gas
pay, sampled total organic content (TOC) and acquired
in-situ gas analysis at depth. Detailed petrophysical
evaluation is now
underway with a full suite of unconventional logs to ascertain
source
rock quality, fracture identification, geochemistry, and rock
moduli
data. This data is critical to determining the most suitable
completion
method and production testing of the Ngapaeruru-1 well, as well as
to
better understanding the long term feasibility of TAG's East
Coast
Basin opportunity.
"Our team did an excellent job drilling this first ever
unconventional
target in the East Coast Basin," commented Drew Cadenhead, TAG's Chief
Operating Officer. "Diligence and communication made certain that
the
occasionally tricky drilling conditions in this Basin were handled
as
planned: safely, efficiently, and with no environmental incidents.
The
fact that early mud-log analysis has returned wet gas and oil
indications is both encouraging and very exciting. We're
looking
forward to more detailed results once analysis of the data
acquired
from the Ngapaeruru-1 well is complete."
Ngapaeruru-1 is located in TAG's 100%-controlled Petroleum
Exploration
Permit 38349 in the East Coast Basin of New Zealand. The Ngapaeruru-1
well represents New Zealand's
first test directly targeting the
naturally fractured Waipawa and Whangai formation source rocks
which is
believed to contain a significant oil and gas resource.
For further information on the Ngapaeruru-1 exploration well and
TAG
Oil's unconventional prospects please visit:
http://www.tagoil.com/20130422-TAG-Oil-First-Oil-And-Gas-Exploration-Well-East-Coast-Basin.asp
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 2,984,171 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.
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.
All estimates and statements that describe the Company's
objectives,
mudlog gas readings, oil indicators, drilling, goals and or
future
plans with respect to the drilling in the East Coast Basin
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 and production, geological risks, marketing and
transportation, the risk associated with estimating
undiscovered
original initially-in-place, availability of adequate funding,
volatility of commodity prices, environmental risks, competition
from
others, and changes in the regulatory and taxation environment.
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.
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.
SOURCE TAG Oil Ltd.