TAG Oil Ltd (TAOIF)

[DANA1]

It's TAG Time !!

A solid foundation has been laid. 7 new successful exploration wells (Sidewinder 1-4, Cheal Horizontal, Cheal B4ST & Cheal C1) have been drilled & tested and ready to come into full production.

TAG is debt free and their revenue stream is poised to increase from $16 million (year end March 2011) to over $100 million per annum as soon as the production facilities at Sidewinder & Cheal are ready to produce & handle these new wells.

The company posted a Q4 profit based on average daily production of around 500 BOPD. Q1 2011 (June 30/11) results will be out at the end of August and should show a good profit as production has been just under 1,000 BOPD during this time frame.

A new drilling program is about to start in September targeting proven fields (Sidewinder, Cheal & Cardiff), so more positive results can be anticipated.

If the Moki formation (Cheal Field)is proven to be an oil pay zone, this will be huge for the company. In addition the East Coast is scheduled to have 2 exploration wells drilled targeting both Waitangi Hill and Boar Hill in late 2011/early 2012.

The company has gained credibility by being promoted to the TSX main board and adding an experienced oil executive to their Board of Directors.

There is absolutely no reason this stock should not be over $10 by the end of the year. Based on "in pipe" production of over 6,000 BOPD, just waiting, I'm not sure that we shouldn't be there now ... but the markets are the markets.

I believe we should start seeing TAG move upward in the very near future. The stock has been lagging in the $5-6 range too long.

It's TAG time NOW !!!