TAG Oil (TAO) Q4 2024 earnings summary

Executive summary

• Production from BED4-T100 and BED 1-7 wells in Egypt averaged 102 and 85 bopd respectively in Q4 2024, with Q1 2025 production averaging 130 bopd from both wells.

• Cumulative production from these wells has exceeded 40,000 barrels.

• Both wells were equipped with sucker rod pumping systems and temporarily shut-in for pressure build-up analysis in Q1 2025.

• Early Production Facilities were upgraded for improved crude handling and delivery.

Financial highlights

• Cash and cash equivalents stood at C$6.6 million and working capital at $5.0 million as of December 31, 2024, up from $4.4 million and $2.3 million respectively on September 30, 2024.

• No debt on the balance sheet as of year-end 2024.

• Sale of New Zealand royalty interest added US$2.2 million (approx. C$3.0 million) in cash.

Outlook and guidance

• Additional liquidity from the royalty sale will support the 2025 capital program and efforts to bring in a joint venture partner for the BED-1 drilling campaign.

• Progress continues on closing a strategic asset acquisition in Egypt, though completion is taking longer than expected.