TAG Oil Cases Cheal-B2 Well
November 10 2006 - 4:32PM
PR Newswire (US)
First Two "B" Site Directional Wells Indicate Oil, and Rig Moves to
Spud the Cheal-B3 Well VANCOUVER, Nov. 10 /PRNewswire-FirstCall/ --
Independent Canadian oil and gas exploration company TAG Oil Ltd.
(TSX-V: TAO and OTCBB: TAGOF) announced that the Cheal-B2 well
located in PMP 38156-01 (TAG 30.5%) New Zealand, has reached a
total depth of 1866m (6122'). After evaluating the wireline logs,
the Joint Venture has agreed to run production casing and initiate
a program of completion testing. "We're pleased by the indications
of oil," says President and CEO Drew Cadenhead, "and we're looking
forward to moving the rig to spud Cheal-B3." The Cheal-B1 and B2
wells are the first two step-out wells that the Joint Venture has
drilled from the Cheal "B" surface location. Both wells were
drilled directionally, targeting the Mt. Messenger Formation,
proven productive at the Cheal-A3X and Cheal-A4 wells. The newly
acquired Brecon 3-D seismic programme has been utilized to target
these wells along with a number of follow up locations in the Cheal
Oil Field area. Participants in the sidetrack operation are the
Company (30.5%), Arrowhead Energy Limited (33%) and Austral Pacific
Energy (NZ) Limited (36.5%). About TAG Oil: TAG Oil Ltd. is an
independent Canadian oil and gas exploration company with a
well-balanced portfolio of assets in and around the Canterbury,
Taranaki and East Coast basins of New Zealand. This regional focus
supports the Company's mandate to explore in countries with low
political risk and low government taxation, through the
establishment of a portfolio of both high risk/high reward
exploration projects and low risk/moderate reward acreage in
producing basins. With exploration permits totaling 3,697,408 gross
acres (net 1,858,048). TAG Oil is one of the largest holders of
prospective acreage in New Zealand. TAG Oil trades on the TSX
Venture Exchange (TSX-V) with the ticker symbol TAO, and on the
OTCBB with the symbol TAGOF. More information is available on the
Company's website at: http://www.tagoil.com/. 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.
Actual results may vary materially from the information provided in
this release. As a result there is no representation by TAG Oil
that the proposed acquisition will be finalized or that actual
results realized in the future will be the same in whole or in part
as those presented herein. Actual results may differ materially
from the results predicted, and reported results should not be
considered as an indication of future performance. Factors that
could cause actual results to differ from those contained in the
forward-looking statements, other than those related specifically
to finalizing the proposed acquisition, are set forth in filings
that the Company has made, including the Company's most recent
reports in Canada under National Instrument 51-102 and in the
United States under Forms 20-F and 6K. The TSX Venture Exchange has
not reviewed and does not accept responsibility for the adequacy or
accuracy of this release. CONTACT: Garth Johnson, , (604) 609-3350
DATASOURCE: TAG Oil Ltd. CONTACT: Garth Johnson, , (604) 609-3350
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