TAG Oil Blog

Credit Suisse analysis? TAG Oil is differentiated from its peers.

Posted by Denise della Santina on Oct 5, 2012 8:50:00 AM
Credit Suisse logo

Credit Suisse has initiated coverage of TAG Oil, citing the company’s “layers of success” that include its portfolio of assets, location of operations, strong balance sheet and successful track record and demonstrated ability to execute.

What they specifically highlighted:

  • The 5,000 boe/d in behind pipe production that TAG is set to bring in by Q1/13 will contribute cash flow to a strong net cash balance of C$106 million at FQ1/13. That, plus the lack of long-term debt, will enable the Company to continue to self-fund its growth.
  • 380AandF prod 2012TAG’s proven success in the Taranaki Basin, and the Basin’s multiple layers of prospective hydrocarbon zones: the shallow basin plays of Cheal and Sidewinder which are fueling growth and profitability now, as well as the deeper condensate- rich plays of Hellfire and Cardiff, which will drive midterm growth in FY 2013 and 2014.
  • The potential of long-term tight oil: As exploration with Apache Corp continues in the East Coast Basin, the value generation potential of 13 billion barrels OOIP estimated in TAG Oil’s permit assets could be significant. 
  • New Zealand operations provide a low geopolitical risk, operating and transportation costs are lower cost than many North American oil and gas producers, and there are no seasonal considerations that impede many Canadian drilling operations.
You can access contact information for the Credit Suisse research analyst covering TAG Oil here.

Topics: East Coast Basin, Cardiff, Hellfire, third-party reports, unconventional oil, Financial coverage, Taranaki, Announcements, Apache Corp, New Zealand, Cheal Oil Field, tight oil

National Bank Financial now covering TAG Oil

Posted by Denise della Santina on Sep 17, 2012 11:50:00 AM
National Bank Financialnbf logo initiates coverage on TAG Oil with an "Outperform" rating. They particularly appreciate the Company's attractive valuation, the mix of Taranaki Basin conventional oil and gas production with unconventional hydrocarbon exploration in the East Coast Basin, and our three high-impact, liquids-rich, drill-ready prospects, Cardiff and Hellfire.

Topics: third-party reports, unconventional oil, Financial coverage, oil and gas production

TAG Oil to be added to S&P/TSX SmallCap Index

Posted by Denise della Santina on Sep 14, 2012 4:10:00 PM

SandPStandard & Poor's Canadian index operations just released the results of its annual review of the S&P/TSX SmallCap Index, and they've announced that TAG Oil is being added to the S&P/TSX SmallCap Index. While company additions to an S&P equity index do not in any way reflect an opinion on the investment merits of the company, financial viability, liquidity, adequate float size, and other trading requirements must be met to qualify.

In S&P's own words, "The S&P/TSX SmallCap Index provides an investable index for the Canadian small cap market. The index is float adjusted and market cap weighted and was developed with industry input as the ideal benchmark for those with small cap exposure of the Canadian equity market."

Topics: Financial coverage

Warren Buffett and TAG Oil together in a Forbes post: That’s what we call good company.

Posted by Denise della Santina on Jun 21, 2012 9:01:00 AM

Mini ForbesIn a recent post about TAG Oil as a good “buy” opportunity, Forbes online says “…investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful.” They point towards one way of measuring fear levels via the Relative Strength Index (RSI), which measures stock momentum on a 100-point scale.

“A stock is considered to be oversold if the RSI reading falls below 30. A bullish investor could look at TAO’s 28.8 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side….”

Indeed. Since we can’t control a volatile global stock market, we can at least appreciate these opportunities when they come. See the full Forbes story here.

Topics: Financial coverage

TAG Oil a Top Pick on Business News Network

Posted by Denise della Santina on Apr 29, 2012 4:53:00 PM


A nice bit of press at BNN (Business News Network) Canada, picking TAG Oil as a top stock pick recently. There's a short ad, but at about minute 1:23 you'll see TAG Oil selected as Robert McWhirter's (of Selective Asset Management) first Top Pick: http://ow.ly/azkxS

We'll forgive them for mis-classifying us as a Venezuelan company, since the rest of the profile is spot on.

Topics: East Coast Basin, unconventional oil, Financial coverage, Announcements, tight oil

Dundee Securities now covering TAG

Posted by Denise della Santina on Apr 22, 2012 2:31:00 PM

Alexander Klein of Dundee Securities Ltd. is now among the analysts covering TAG Oil.

Please see all the analysts with investment coverage on TAG Oil here.

Topics: third-party reports, Financial coverage

TAG Oil gets some love from “The Street”

Posted by Denise della Santina on Mar 15, 2012 3:39:00 PM

TAG Oil was in some pretty nice company in a recent Frank Byrt piece in The Street. For the whole article link here, http://ow.ly/9FcGr, and for an excerpt, read on.

TAG Oil, The Street

Boston | Frank Byrt | The Street | 3/12/12

10 Best-Performing Stocks in Three-Year Bull Market

"…In order to find the best of the last group, I screened Morningstar data for companies with solid financial fundamentals, a market value of at least $250 million and a three-year average annual return of 200% or better.

Surprisingly, there is only one technology company in the group, and the rest are a smorgasbord, including a yoga-wear retailer, a Las Vegas casino developer and a Canadian oil driller that went all the way to New Zealand to get at black-gold deposits….The 10 stocks we found are summarized below…”

10. TAG Oil (TAOIF)

TAG Oil, with a market value of $547 million, is a Canadian company producing and exploring for oil and natural gas in oil shale in New Zealand…. Its shares are up 43% this year and have a three-year, average annual return of 318%. No U.S. analyst coverage is available, but hedge fund manager Elliott Associates, with $15 billion in assets, is the biggest stakeholder at 12%, followed by Fidelity and Fidelity Canada, with a combined 7%. Tag Oil said today that it upped its capital expenditures by $66 million to expand oil and gas drilling at its company-owned fields in New Zealand, because its efforts have been so successful.

9. Dollar Thrifty Auto Group (DTG )

Dollar Thrifty, with a market value of $2 billion, owns, operates and franchises car rental operations throughout the U.S., Canada and abroad. 

8. Pharmacyclics (PCYC)

Pharmacyclics, with a market value of $1.8 billion, is a developer of pharmaceuticals used to treat certain cancers and cardiovascular disease. 

7. Mitek Systems (MITK)

Mitek, with a market value of $302 million, is the developer of software used for image recognition, used in check and document processing, and forgery detection.

6. Jazz Pharmaceuticals (JAZZ)

Jazz Pharmaceuticals, with a market value of $2.8 billion, is a specialty-pharmaceutical company that develops and markets medical products in the fields of neurology and psychiatry. 

5. Select Comfort (SCSS)

Select Comfort, with a market value of $1.8 billion, makes air beds and other sleep-related products. The company's mattresses have adjustable firmness levels and range in prices up to $2,600. 

4. Keryx Biopharmaceuticals (KERX)

Company profile: Keryx, with a market value of $299 million, acquires and develops products for the treatment of diseases, including diabetes and cancer. 

3. Pier 1 Imports (PIR)

Pier 1 Imports, with a market value of $1.9 billion, is a retailer of decorative accessories, furniture, housewares, and seasonal items imported from more than 50 countries. Pier 1 has over 1,000 stores.

2. Lululemon Athletica (LULU)

Lululemon Athletica, with a market value of $8 billion, is a specialty retailer and designer of upscale athletic apparel for women, with a focus on yoga-inspired merchandise.

1. Las Vegas Sands (LVS)

Las Vegas Sands, with a market value of $40 billion, is the world's largest operator of integrated resorts encapsulating casinos, hotels, entertainment, food and beverage, retail, and convention center operations.

Content copyright of The Street, Inc. 14 Wall Street, 15th Floor, New York, New York 10005. For the whole article, link here: http://ow.ly/9FcGr.

Topics: third-party reports, Financial coverage, Announcements, Product Information

Casey Research, LLC joins the list of analysts with an eye on TAG Oil.

Posted by Kris Clark on Jun 22, 2011 12:04:00 AM

Marin Katusa of Casey Research, LLC. is now among the analysts covering TAG Oil. www.caseyresearch.com  

Please see all the analysts with investment coverage on TAG Oil here.

Topics: third-party reports, Financial coverage, Announcements

Cormark Securities, oil and gas analysts.

Posted by Denise della Santina on May 25, 2011 2:11:00 PM
Cormark Securities Inc. oil and gas Analyst David Beddis initiated investment coverage on TAG today.

Topics: third-party reports, Financial coverage

The roster of analysts continues to grow…as does TAG’s pipeline.

Posted by Kris Clark on May 25, 2011 12:17:00 AM
TAG Oil pipeline

David Beddis of Cormark Securities Inc. is now following TAG Oil. The current list of analysts includes: Peter Nicol of GMP Securities, Bill Newman of Mackie Research Capital, and Kevin Shaw of Wellington West Capital Markets Inc.

While any opinions regarding TAG’s performance made by these analysts are theirs alone, we think the coverage is an indication of TAG Oil’s sound strategy borne out by recent drilling and discovery results.

Meanwhile, lots of welding along the roadside as our pipeline grows. Most of this should be buried within a couple days. The pipe with the big bends will be done after....

Topics: third-party reports, Financial coverage, pipeline