TAG Oil Ltd · TSXV:TAO

TAG Oil — Non-Deal Roadshow (October 2015)

23 slides from TAG Oil's roadshow presentation, Oct 1, 2015

  1. Slide 1: A proven leader in New Zealand's oil & gas scene

    TSX : TAO | OTCQX : TAOIF A proven leader in New Zealand’s oil & gas scene October 1, 2015 – New York Marketing Trip

  2. Slide 2: Disclaimer

    TSX : TAO | OTCQX : TAOIF BOEs Disclaimer The Company has adopted the standard of six thousand cubic feet of gas to equal one barrel of oil when converting natural gas to “BOEs.” BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6Mcf: 1 Bbl is based on an energy eq

  3. Slide 3: Why TAG Oil?

    TSX : TAO | OTCQX : TAOIF Why TAG Oil? § Experienced production, drilling and operations team § Undervalued based on its assets § Long life production with significant potential resources upside § Strategic holdings with high-impact potential § Strong balance sheet and no debt USD per Barrel Ne

  4. Slide 4: Foundation for Success

    TSX : TAO | OTCQX : TAOIF Foundation for Success* Capital Structure 62.2 million shares o/s; 67.4 million fully diluted Working Capital $26.1 million in working capital, no debt, fully funded FY16 program with balanced drilling risk profile Proved & Probable 5,180,000 BOE (90% oil) at March 31, 2015

  5. Slide 5: Organic value creation growth opportunity

    TSX : TAO | OTCQX : TAOIF Organic value creation growth opportunity Capex fuelled by established high netback production + share dilution minimized by cash flow x reserve-based growth = shareholder value • Drilling & recovery enhancements to boost existing reserves and production #1: Exploit Cheal •

  6. Slide 6: Production growth and value creation with running room to spare

    TSX : TAO | OTCQX : TAOIF Production growth and value creation with running room to spare TAG’s quarterly production & revenue © 2015 TAG Oil Ltd., www.tagoil.com 6

  7. Slide 7: Financial Snapshot

    TSX : TAO | OTCQX : TAOIF Executive & Key Technical Team Financial Snapshot As of March 31st (in 000’s except EPS BT and FY2015 FY2014 FY2013 FY2012 FY2011 Average yearly oil price) Production Revenue $ 53,737 $ 57,547 $ 44,591 $ 42,909 $ 13,088 Operating Profit 30,716 37,481 30,551 27,295 6,533 Net

  8. Slide 8: Forecasted Work Program

    TSX : TAO | OTCQX : TAOIF Forecasted Executive & Key Work Program Technical Team July May Cheal A1 Rod October November April Cheal E to A January February June Repair September Cheal E4 Cheal B1 March Cheal E to Pipeline August Cheal G Cheal G Commission Cheal B1 Cheal E5 Cheal A12 Re-­‐Perf Rod Pu

  9. Slide 9: TAG Oil: A dominant producer in the Taranaki Basin

    TSX : TAO | OTCQX : TAOIF TAG Oil: A dominant producer in the Taranaki Basin § Lightly explored across TAG’s acreage § A proven & prolific basin with significant untapped potential § Infrastructure 100% owned and operated by TAG Oil allows for quick tie-ins § Just over 300 wells drilled in the T

  10. Slide 10: High-graded development drilling locations provide long-term upside

    TSX : TAO | OTCQX : TAOIF High-graded development drilling locations provide long-term upside § Discovered upside in up-hole sands- many wells have 2 or more stacked reservoir intervals, with only one interval currently producing § Potential to double current resources by improved artificial lift

  11. Slide 11: Development of the Cheal oil and gas field area substantially de-risked

    TSX : TAO | OTCQX : TAOIF Development of the Cheal oil and gas field area substantially de-risked § 36 drilled wells de-risks future drilling § Permit-wide 3D seismic and a substantial drilling and workover inventory § Stacked reservoirs = efficient development, reduced costs, risk, and footprint

  12. Slide 12: Cardiff: A large potential resource

    TSX : TAO | OTCQX : TAOIF Cardiff: A large potential resource § Stratford/Cardiff high spans ~12 km long by 3 km wide § Reserve size and deliverability potential are greater than shallow drilling program (Cheal) due to greater depth and over pressuring § Conservative recoverable resource estimate

  13. Slide 13: Sidewinder: Existing production and good exploration potential

    TSX : TAO | OTCQX : TAOIF Sidewinder: Existing production and good exploration potential § 100% working interest across 22,600 acres with full 3D coverage § Sidewinder B locations are targeting stacked Mount Messenger Oil zones § Deep gas potential and additional prospectivity across the acreage

  14. Slide 14: Executive & Experienced Leadership Team

    TSX : TAO | OTCQX : TAOIF Executive &Experienced Key Technical Team Leadership Team North American Expertise Global Experience Successful natural resource executive with deep expertise in Toby Pierce operations, capital markets, investment banking, and M&A Chief Executive Officer, BSc, MBA Internati

  15. Slide 15: Why TAG is an attractive investment?

    TSX : TAO | OTCQX : TAOIF Why TAG is an attractive investment? § Unrecognized value of basic fundamentals and strong relative position against peer group § Nav of ~$1.84 per share on P+P NPV10 (BT) 2015 audited reserves* § Trading at ~2.1x EV/DACF (trailing) and trading at ~2.5x forecast 2016 EV/

  16. Slide 16: Appendix

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  17. Slide 17: Why New Zealand?

    TSX : TAO | OTCQX : TAOIF Why New Zealand? § Favorable commercial terms and low royalties § Under-drilled, with world-class discovery potential § Proven oil reserves of 534 million barrels § Proven natural gas reserves of 7.3 TCF § Underexplored with fewer than 300 wildcat wells drilled § Ener

  18. Slide 18: New Zealand's Oil and Gas Industry

    TSX : TAO | OTCQX : TAOIF New Zealand’s Oil and Gas Industry Source: Taranaki Report, March 2015 © 2015 TAG Oil Ltd., www.tagoil.com 18

  19. Slide 19: New Zealand's Oil and Gas Industry

    TSX : TAO | OTCQX : TAOIF New Zealand’s Oil and Gas Industry Source: Taranaki Report, March 2015 © 2015 TAG Oil Ltd., www.tagoil.com 19

  20. Slide 20: Taranaki Basin shallow offshore prospect

    TSX : TAO | OTCQX : TAOIF Taranaki Basin shallow offshore prospect Kaheru Drilling Prospect (40%) § 54,057 gross offshore acres (Partners: 35% NZOG, 25% Beach Petroleum) § Operated by NZOG (partner in Tui & Kupe, New Zealand’s newest offshore production) § Shallow water (~22 meters deep), 8 km’s

  21. Slide 21: Early-stage frontier exploration

    TSX : TAO | OTCQX : TAOIF Early-stage frontier exploration © 2015 TAG Oil Ltd., www.tagoil.com 21

  22. Slide 22: A profitable oil & gas producer committed to creating shareholder value

    TSX : TAO | OTCQX : TAOIF A profitable oil & gas producer committed to creating shareholder value Core Values: • People Matter Most • Have a ‘Will-Do’ Attitude • Community Counts • Work Safely • Celebrate Success © 2015 TAG Oil Ltd., www.tagoil.com 22

  23. Slide 23: Thank You

    TSX : TAO | OTCQX : TAOIF Thank You TAG Oil Ltd. Ashley Garnot, General Manager 885 West Georgia Street, Suite 2040 Vancouver, BC, V6C 3E8 Canada Tel 1-604-282-6384 Fax 1-604-682-1174 [email protected] www.tagoil.com

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