Tag Oil Seeks Farm-In Partner for Oz Assets
Australasia-focused Tag Oil is seeking a farm-in partner for its Australian assets, it said April 3.
Ocean Reach Advisory has been appointed as financial advisor to Tag with a mandate to secure a farm-in partner for its Australian assets. Marketing materials are currently being prepared with the virtual data room scheduled to open on May 1, 2019. The company said it is looking to reduce its capital and risk exposure on its 1,150 km2 of 100% owned acreage in the Surat Basin as it prepares for the next phase of the upcoming exploration programme.
Ocean Reach’s mandate also extends to the sale of the coalbed methane (CBM) rights associated with PL-17, which is located nearby several major CBM developments which feed the Queensland LNG market, Tag said. The company, however, intends to retain the conventional oil and gas rights to PL-17.
In Australia, Tag Oil l holds PL 17, which includes two undeveloped light-oil fields and a deeper Permian oil play, an unconventional tight gas/condensate play opportunity.
Meanwhile, Tag is currently waiting for final approval from New Zealand Petroleum and Minerals (NZP&M) for the sale and transfer of operatorship to Tamarind Resources of its New Zealand operations.
“Tag and Tamarind remain committed to closing the transaction within two weeks of receiving approval from NZP&M,” it said.
The deal got approval from Tag's shareholders in January this year while New Zealand Overseas Investment Office okayed the deal in March.
In New Zealand, Tag’s operations include production from the Cheal and Sidewinder oil and gas fields with the Puka, Supplejack and Cardiff new pool discoveries under development. The company owns and operates three production facilities in the Taranaki Basin, which are linked directly to Taranaki’s main gas distribution pipeline.