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TAG Oil Announces Success at the Cheal-E8 Exploration Well
TAG Oil Announces Success at the Cheal-E8 Exploration Well Canada NewsWire VANCO...
About this update from Tag Oil Ltd
[{"type":"text","content":"\n\n\n\nTAG Oil Announces Success at the Cheal-E8 Exploration Well\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nVANCOUVER, May 24, 2017\n\n\n\nVANCOUVER, May 24, 2017 /CNW/ - TAG Oil Ltd. (the \"Company\" or \"TAG Oil\") (TSX: TAO and OTCQX: TAOIF) is pleased to announce the successful drilling and flow testing of the Cheal-E8 exploration well, which will now be tied-in to TAG Oil's existing infrastructure as a permanent producer.\n\nThe Cheal-E8 well was drilled on TAG Oil's 70% working interest and operated Cheal East permit (PEP 54877) in the Taranaki Basin of New Zealand. The well was drilled and completed on time and on budget to a total measured depth of over 2,000 meters. The primary objective of Cheal-E8 was to test the potential of the Urenui formation, with the deeper Mt. Messenger formation as the secondary objective. Net pay of approximately 17 meters of Urenui sands and 4 meters of Mt. Messenger sands was recorded. \n\nFollowing the completion of the Urenui zone, Cheal-E8 naturally free flowed oil and gas on choke at an average rate of 318 boe/d over a four and a half day test. No water production was observed during the test.   \n\nThe Mt. Messenger formation is also estimated to be commercial, and will be completed in the future. \n\nThe Company's next well will be Cheal-D1, which will also be drilled on the Cheal East permit.  This is scheduled to spud in July 2017. Construction of the Cheal-D well pad is currently underway and is proceeding on schedule. The Cheal-D well pad is located near, and will be used to explore, the northern portion of the Cheal E permit.\n\nPlease click here to view a video summary of today's release.\n\nToby Pierce, TAG Oil's CEO commented, \"I am very pleased with the results of the first exploration well at Cheal that TAG Oil has drilled in almost three years. Over that time, TAG Oil has focused on reducing its commitments and stabilizing production from its existing fields while we managed through the period of lower oil prices. With the recent $15 million raise completed in Q1 this y...