Tango Energy Inc. - 2007 & 2008 Drilling Program Update

About this update from Tamarack Valley Energy Ltd.

[{"type":"text","content":"\n\n\n\nCALGARY, Jan. 23 /CNW/ - Tango Energy Inc. ("Tango") (TSXV - TEI) is\npleased to provide this update to shareholders. Tango's 2007 average\nproduction rate is expected to be about 700 barrels of oil equivalent per day\n("boepd") compared with approximately 330 boepd for 2006. The 16-14 well at\nCecilia was drilled in the fourth quarter of 2007 and placed on stream in mid\nDecember at a production rate of approximately 60 boepd net to the company.\nTango also drilled a well at Deanne during the fourth quarter of 2007 which is\nanticipated to be tied-in by the end of the June, 2008. Tango's recent new\npool discovery in Quaich was flow tested at just over 4 million cubic feet of\ngas per day (400 boepd net to Tango) and is expected to be tied in by Compton\nPetroleum Ltd., the operator, before the end of June, 2008. Tango and it's\npartner have also recently acquired additional crown petroleum and natural gas\nrights on this play and anticipates that this play shall attract a significant\namount of Tango's 2008 capital budget.\n\n\nFunds flow from operations for 2007 will be approximately $5.2 million\nand net debt at December 31, 2007 will be approximately $5.3 million. Tango\ncurrently has available a $9.5 million operating line of credit and a\n$2.75 million acquisition/development line of credit.\n\n\nTango plans to spend approximately $6.5 million on its 2008 capital\nprogram which contemplates a number of development and exploratory drilling\nopportunities in its core areas that could allow Tango to exit 2008 at\napproximately 1100 boepd. This capital program will be financed substantially\nfrom funds flow from operations but Tango expects to incur some additional\ndebt to complete its planned programs with the result that it's debt to cash\nflow ratio is expected to increase to 1.4 at year end 2008. In it's forecast\nmodels Tango has used an average natural gas price forecast of $6.32/mcf for\n2008. Tango will update shareholders quarterly or as results from operations\nrequire.\n\n\nTango has recently revised and updated its website which can be found at\nwww.tangoenergy.com. Tango Energy Inc. is listed on the TSX-Venture Exchange\nunder the Symbol TEI.\n\n\nThe TSX Venture Exchange has not reviewed and does not accept\nresponsibility for the adequacy or accuracy of this release. This release\nc...

More updates from Tamarack Valley Energy Ltd.