Nov 16, 2020   SOURCE: PR NewsWire

TAG Oil Reports Q2 2021 Results

VANCOUVER, BC, Nov. 16, 2020 /PRNewswire/ - TAG Oil Ltd. ("TAG Oil" or the "Company") (TSXV: TAO) (OTCQX: TAOIF) is pleased to report the filing of its second quarter results for the interim period ending September 30, 2020. Highlights over the period include:

    --  At September 30, 2020, the Company had C$15.1 million (June 30, 2020:
        C$15.0 million) in cash and cash equivalents and C$17.6 million (June
        30, 2020: C$17.4 million) in working capital. The Company has no debt.
    --  Capital expenditures totaled C$0.05 million for the quarter ended
        September 30, 2020, compared to C$0.10 million for the quarter ended
        June 30, 2020. Most of the expenditures during the quarter related to
        the ATP 2037/2038 seismic acquisition program for 2021.
    --  On September 1, 2020, the Company announced the following corporate
        updates:
        --  Mr. Abdel (Abby) Badwi joined the Company as Executive Chairman of
            the board of directors, along with Mr. Suneel Gupta who was
            appointed as VP and COO of the Company. Messrs. Shawn Reynolds and
            Thomas Hickey were also appointed to TAG's board of directors as
            non-executive directors.
        --  The Company completed a non-brokered private placement of 6.25
            million units ("Units") at a price of C$0.16 per Unit for aggregate
            gross proceeds of C$1.0 million. Each Unit consists of one common
            share ("Common Share") and one common share purchase warrant
            ("Warrant"), with each Warrant entitling the holder thereof to
            acquire one Common Share in the capital of the Company at a price of
            C$0.16 per Common Share for a period of three years from the date of
            closing.
        --  The grant of 4.85 million stock options exercisable for a period of
            five years at a price of C$0.25 per share to the newly appointed
            officers, directors, and consultant. The options will be subject to
            deferred vesting over three years.
    --  On September 25, 2020, the Company announced the following corporate
        updates:
        --  Mr. Peter Loretto resigned from his position as a non-executive
            director of the Company.
        --  The grant of 775,000 stock options on September 11, 2020, to various
            officers, directors, and staff members. These options vested
            immediately and are exercisable until September 11, 2025, at a price
            of C$0.25 per share.
    --  Subsequent to September 30, 2020, the Company closed the purchase and
        sale agreement with Luco Energy Pty. Ltd. ("Luco"), a company owned by
        Ilwella Pty. Ltd. and AJ Lucas Services, to divest its Australian assets
        and operations as part of a strategic realignment of the Company's oil
        and gas exploration and development activities. This was an arm's length
        transaction that involved the sale of the shares of TAG Oil's 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
        in exchange for a cash payment of A$2,500,000 (approximately
        C$2,375,000) at closing and a 3.0% gross overriding royalty on future
        production from all liquids produced from the Permits.

TAG Oil's management and board of directors continue to assess all available opportunities to maximize value for its shareholders, including exploring strategic opportunities in the Middle East and North Africa. TAG Oil will provide further information on these efforts in due course.

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 and potential strategic opportunities. 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.