Niger project update (Ténéré Block): TG World approves location of third Niger well, seismic program for 2008



    
    -   Third exploration well location selected, to be drilled in the north
        of the Ténéré Rift Basin and Ténéré Block; rig available, but
        operation commencement awaiting lifting of security moratorium

    -   Well to test a new Cretaceous play; TG World carried for its 20%
        working interest

    -   Total 2008 Work Program approved: 3 wells; approximately 2,000 kms
        2-D seismic acquisition

    (TSX-V: TGE)
    

    CALGARY, Jan. 31 /CNW/ - TG World Energy Corp. (TSX-V: TGE) ("TG World"
or "the Company") today announced the location for the third exploration well
on the Ténéré Block, Niger. The well, named Facai - 1, is expected to be
drilled to a depth of 3,700 metres to test a new Cretaceous Play. The location
is 100 kms north of the two 2007 wells drilled on the Ténéré Block and is
situated in the Northeast sector of the Ténéré Rift Basin.

    Certain information set out in this News Release constitutes
forward-looking information, including information concerning the anticipated
depth of the Facai - 1 well, anticipated dates of commencement of projects,
the estimated time required to drill the Facai - 1 well following completion
of well construction and site preparation activities and the Company's
responsibility for certain costs associated with exploration activities on the
Ténéré Block. Readers should refer to the cautionary statement that appears at
the end of this News Release.

    
    Facai -1 Drilling Location
    --------------------------
    
    The Facai - 1 location was selected from a group of five advanced,
drillable prospects developed by the Operator, CNPC International (Ténéré)
Ltd. ("CNPCIT" or the "Operator"). Following the drilling of the prior Ténéré
wells, Saha - 1 and Fachi West - 1 in May of 2007, CNPCIT, together with TG
World, conducted an extensive eight month geological study to reassess Ténéré
Block exploration prospectivity. As a result of the study, two new exploration
plays were developed, each believed to offer a higher chance of success than
remains in the Tertiary reservoir play tested with the first two wells.
    With the Facai - 1 well, CNPCIT and the Company intend to test the
Cretaceous Donga Formation and syn-rift sandstones, equivalent to those
encountered at the base of Saha-1, in a faulted anticlinal trap. The Fachi
Formation shales (identified from drilling the Saha -1 and Fachi West - 1
wells) are anticipated to provide regional seal. Syn-rift lacustrine shales,
located deeper in the section, and analogous to other Central African rifts,
are postulated to provide the oil source rock.

    
    2008 Work Program
    -----------------
    
    CNPCIT has committed in 2008 to an aggressive three well back-to-back
exploration drilling program and the acquisition of approximately 2,000 kms of
2-D seismic, subject to local security conditions. CNPCIT and the Company
believe that logistical efficiencies on the large and remote Ténéré Block make
this the most cost-effective approach. Both the drilling rig and seismic crew
used for the 2007 program are on site, having stood-down because of local
security issues.
    The seismic program is expected to target the two new play fairways, and
is designed to mature additional prospects and to provide infill on play
trends in the sparsely controlled sub-basin north of Facai-1. TG World has
agreed to participate, at its 20% paying interest, in the acquisition of an
initial 800 kms of new seismic. TG World has the option to participate in the
balance of the seismic acquisition program once additional program details are
finalized by the Operator. Field operations in support of the seismic program
are scheduled to commence in March 2008, if the security situation allows.
    Facai-1, the first well in the 2008 program, is scheduled to spud in May
2008 and will also be dependent upon the local security situation. With the
second well in the 2008 program, CNPCIT and the Company expect to target a
second new play developed on the Block. This is a shallower Cretaceous sand
reservoir target located to the east of the deeper Cretaceous sand fairway to
be tested by Facai-1. Additional seismic analysis is ongoing in an effort to
further delineate the prospects. Management of the Company expects to make a
decision concerning TG World participation in this second well following
completion of that analysis; if a decision to participate is made, TG World
will be required to pay 20% of the costs of the well. CNPCIT and the Company
expect to select a location for the third well in the 2008 program on the
basis of the results of the first two wells. Again, if a determination is made
on behalf of the Company to participate in the third well, TG World will be
required to pay 20% of the associated costs.
    The Work Program also includes provision for new initiatives in Community
Relations and Community Development in relation to the Tuareg desert
communities.

    
    Security Update and Possible Extension of First Exploration Period
    ------------------------------------------------------------------
    
    The Operator has reported to TG World that security concerns resulting
from the Tuareg attacks on the Government's military forces, beginning in
February 2007, prevented further seismic acquisition during the back half of
2007. Also, toward the end of November 2007, the Government of Niger issued a
decree extending a security alert over the Agadem region, which includes
Ténéré operations. The period of the alert lasts until the end of February
2008.
    The Operator has advised TG World that, based on discussions with the
Niger Government, it expects to be able to resume operations and commence
construction of the drilling platform for the Facai - 1 well around the
beginning of March 2008. The Operator estimates that drilling could commence
approximately two months after the beginning of site construction.
    The Operator has confirmed receipt of advice from the Government of Niger
that an appropriate period of Force Majeure will be recognized under the
Ténéré Establishment Agreement, in light of operational delays caused by the
local security situation, such that the First Exploration Period will be
extended beyond its initial September 8, 2008, expiry. The exact period of the
extension has not been determined at this time.

    
    The Ténéré Block
    ----------------
    
    TG World holds a 20% interest in the Ténéré Block and is carried by
CNPCIT (80%) for the majority of expenditures, including all drilling and
standby costs, for the first three exploration wells drilled on the Block. The
Company was also carried for seismic acquisition, processing and
interpretation costs, until the end of the second well (Fachi West - 1). TG
World will be responsible to pay its 20% Working Interest share of seismic
programs going forward, together with well costs beyond the third exploration
well. Carried costs incurred to date total approximately US$85 million.

    Corporate Profile

    TG World is a Calgary-based, junior international oil and gas exploration
company. On March 18, 2006, TG World Energy Inc., a wholly-owned subsidiary of
TG World, entered into a major exploration project through the formation of a
joint venture with Brooks Range Petroleum Corporation. The BRPC / TG World
Joint Venture was formed as an exploration strategic alliance covering a large
area of mutual interest on the Alaskan Central North Slope. The Company's
indirect interest in the Alaska Joint Venture includes a 25 - 35% working
interest in approximately 340,000 gross acres of lease lands and an Area of
Mutual Interest under which additional lands may be acquired. Current plans
for the upcoming 2007/08 winter drilling season include testing the North
Shore No.1 well, drilling the Tofkat No.1 exploration well, acquiring up to
200 square miles of new 3-D seismic data and drilling up to two additional
exploration wells.
    Through a wholly-owned subsidiary, TG World holds a 20% carried interest
in the Ténéré Block, an oil and gas concession in the Republic of Niger,
Africa, measuring 71,155 square kilometres (17.3 million acres). The Ténéré
Block contains the northern half of the Termit - Ténéré Rift. The southern
half is adjacent to the Agadem Block, where six oil discoveries and one gas
discovery have been announced. CNPCIT, a unit of CNPC, holds the other 80% of
the Ténéré concession and acts as operator of the project. The first two wells
to test the Ténéré Block, Saha-1 and Fachi West-1 (drilled earlier in 2007),
were dry holes.

    Certain information set out in this News Release constitutes
forward-looking information. Forward-looking statements are often, but not
always, identified by the use of words such as "seek", "anticipate", "plan",
"continue", "estimate", "expect", "may", "will", "intend", "could", "might",
"should", "believe" and similar expressions. Forward-looking statements are
based upon the opinions and expectations of management of the Company as at
the effective date of such statements and, in some cases, information supplied
by third parties (including CNPC International (Ténéré Ltd). Although the
Company believes that the expectations reflected in such forward-looking
statements are based upon reasonable assumptions and that information received
from third parties is reliable, it can give no assurance that those
expectations will prove to have been correct. Forward-looking statements are
subject to certain risks and uncertainties that could cause actual events or
outcomes to differ materially from those anticipated or implied by such
forward-looking statements. These factors include, but are not limited to,
such things as political and civil unrest and the occurrence of other events
of force majeure (including exacerbation of the local security situation in
parts of Niger and government responses to that security situation), the
volatility of prices for oil and gas and other commodities, commodity supply
and demand, fluctuations in currency and interest rates, inherent risks
associated with the exploration and development of oil and gas properties,
ultimate recoverability of reserves, timing, results and costs of exploration
and development activities, availability of financial resources or third-party
financing, availability of drilling and related equipment and new laws and
regulations (domestic and foreign). Accordingly, readers should not place
undue reliance upon the forward-looking statements contained in this News
Release and such forward-looking statements should not be interpreted or
regarded as guarantees of future outcomes. Forward-looking information
respecting the anticipated depth of the Facai - 1 well is based upon data
collected in connection with the drilling of prior wells on the Ténéré Block,
interpretation of that data, interpretation of available seismic data and
advice received from the operator of the Ténéré Concession. Forward-looking
information respecting the anticipated commencement dates for various
activities associated with the 2008 exploration program on the Ténéré Block,
the types of plays to be targeted by anticipated exploration wells and the
acquisition of additional seismic data covering portions of the Ténéré Block
is based upon advice received from the operator of the Ténéré Concession, CNPC
International Ténéré Ltd., which, in turn, is based upon the current budget,
development plans and overall strategy for exploration of the Ténéré
Concession developed by CNPC International Ténéré Ltd., (all of which are
subject to change), and improvements in the security situation in affected
parts of Niger. Forward-looking information respecting future obligations of
the Company and the Company's responsibility for the costs of certain
exploration activities is based upon the terms of the Establishment Agreement
entered into in relation to the Ténéré Block and agreements entered into with
CNPC International (Ténéré) Ltd). The forward-looking statements of TG World
Energy Corp. contained in this News Release are expressed qualified, in their
entirety, by this cautionary statement. Additional information relating to
various risk factors to which TG World is exposed in the conduct of its
business (and which may affect the expectations or outcomes reflected in the
forward-looking statements contained in this News Release) are described in
publicly available documents filed by TG World with certain securities
regulatory authorities in Canada, which are available through SEDAR at
www.SEDAR.com.

    
    The TSX Venture Exchange has neither approved nor disapproved the
    contents of this news release and the TSX Venture Exchange does not
    accept responsibility for the adequacy or accuracy of this news release.
    





For further information:

For further information: Clifford M. James, President and CEO, (403)
265-4506; Paul Moon, Director, Corporate Communications, (403) 265-4506

Organization Profile

TG WORLD ENERGY CORP.

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