VANCOUVER, BC, Oct. 30, 2020 /CNW/ - TAG Oil Ltd. ("TAG
Oil" or the "Company") (TSXV: TAO) (OTCQX: TAOIF) announces that it
has closed its previously announced sale of its Australian
subsidiary, Cypress Petroleum Pty Ltd., which holds the Company's
100% working interests in PL 17, ATP 2037, and ATP 2038
(collectively, the "Permits") located in the Surat Basin of
Queensland, Australia to Luco
Energy Pty. Ltd., a company owned by Ilwella Pty. Ltd. and AJ Lucas
Services (the "Transaction").
Following closing of the Transaction, TAG Oil has ~C$17 million in cash and will continue to have
exposure to the potential upside from a 3.0% gross overriding
royalty on future production from all liquids produced from the
Permits.
Toby Pierce, CEO of TAG Oil said,
"We are pleased to close this transaction with Luco Energy and
to deliver value to our shareholders. TAG Oil is well positioned
strategically to pursue oil and gas exploration and development
opportunities in the initial focus area of the Middle East and North Africa and we will keep our
shareholders apprised of any developments as they arise."
About TAG Oil Ltd.
TAG Oil (http://www.tagoil.com/) is a Canadian based
international oil and gas exploration company.
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
Certain of the statements made and information contained
herein is considered "forward-looking information" within the
meaning of applicable Canadian securities laws, including
statements with regard to the Company's operations, potential
acquisition opportunities and the Transaction. These statements
address future events and conditions and are reliant on assumptions
made by the Company's management, and so involve inherent risks and
uncertainties, as disclosed in the Company's periodic filings with
Canadian securities regulators. As a result of these risks and
uncertainties, and the assumptions underlying the forward-looking
information, actual results could differ from those currently
projected. The Company does not assume the obligation to update any
forward-looking statement, except as required by applicable
law.
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SOURCE TAG Oil Ltd.