TAG Oil receives notice from Apache under East Coast Farmout Agreement

    TAG Oil receives notice from Apache under East Coast Farmout Agreement

PR Newswire

VANCOUVER, Jan. 11, 2013

VANCOUVER, Jan. 11, 2013 /PRNewswire/ - TAG Oil Ltd. (the "Company" or "TAG")
(TSX: TAO and OTCQX: TAOIF) announced today that Apache New Zealand
Corporation LDC ("ANZ") has informed the Company that it will elect not to
undertake the Phase 2 program under the Farmout Agreement dated September 1,
2011, between Eastern Petroleum (NZ) Limited ("Eastern"), Orient Petroleum
(NZ) Limited ("Orient") and ANZ (the "Farmout Agreement") relating to drilling
in the East Coast Basin of New Zealand. Eastern and Orient are indirect
wholly-owned subsidiaries of TAG.

TAG intends to continue and complete the Phase 1 program. Under the Farmout
Agreement, ANZ is obligated to pay all costs and expenses actually incurred or
committed in respect of the Phase 1 program.

TAG CEO Garth Johnson stated "We look forward to executing our long-term goal
for the East Coast; to drill and hopefully prove the concept of unconventional
oil potential in this frontier basin."

TAG Oil Ltd.
TAG Oil Ltd. ( http://www.tagoil.com/) is a Canadian-based production and
exploration company with operations focused exclusively in New Zealand. With
100% ownership over all its core assets, including oil and gas production
infrastructure, TAG is enjoying substantial oil and gas production and reserve
growth through development of several light oil and gas discoveries. TAG is
also actively drilling high-impact exploration prospects identified across
more than 2,953,810 net acres of land in New Zealand.

In the East Coast Basin, TAG will explore and potentially develop the major
unconventional resource potential believed to exist in the tight oil
source-rock formations that are widespread over the Company's acreage. These
oil-rich and naturally fractured formations have many similarities to North
America's Bakken source-rock formation in the successful Williston Basin.

Important information:

Cautionary Note Regarding 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. Such statements can be generally, but not
always, identified by words such as "expects", "plans", "anticipates",
"intends", "estimates", "forecasts", "schedules", "prepares", "potential" and
similar expressions, or that events or conditions "will", "would", "may",
"could" or "should" occur.

All estimates and statements that describe the Company's objectives, goals or
future plans are forward-looking statements under applicable securities laws
and necessarily involve risks and uncertainties including, without limitation:
risks associated with oil and gas exploration, development, exploitation,
production, marketing and transportation, availability of adequate funding,
volatility of commodity prices, imprecision of reserve estimates,
environmental risks, competition from other producers, and changes in the
regulatory and taxation environment. Actual results may vary materially from
the information provided in this release, and there is no representation by
TAG that the actual results realized in the future will be the same in whole
or in part as those presented herein.

Other factors that could cause actual results to differ from those contained
in the forward-looking statements are also set forth in filings that TAG and
its independent evaluator have made, including TAG's most recently filed
reports in Canada under National Instrument 51-101, which can be found under
TAG's SEDAR profile at www.sedar.com. TAG undertakes no obligation, except as
otherwise required by law, to update these forward-looking statements in the
event that management's beliefs, estimates or opinions, or other factors
change.

SOURCE TAG Oil Ltd.

Contact:

Dan Brown or Garth Johnson
TAG Oil Ltd., 1-604-682-6496
Email:info@tagoil.com
Website:http://www.tagoil.com/
Blog:http://blog.tagoil.com/
 
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