VANCOUVER, May 25, 2017 /CNW/ - TAG Oil Ltd. (the "Company" or "TAG Oil") (TSX: TAO and OTCQX: TAOIF) announces that the Company has completed the distribution of its approximately 2,785,029 Coronado Resources Ltd.'s ("Coronado") common shares (the "Coronado Shares") to its shareholders of record (the "Dividend") at the close of business on May 9, 2017 (the "Record Date"). TAG Oil's shareholders received approximately 0.0326 of a Coronado Share for each common share of TAG Oil held as of the Record Date.
The 2,785,017 Coronado Shares distributed by the Company pursuant to the Dividend represent approximately 49.19% of the total issued and outstanding Coronado Shares as of May 25, 2017. Immediately prior to the Dividend, the Company owned 2,785,029 Coronado Shares, which represented approximately 49.19% of the total issued and outstanding Coronado Shares as of May 25, 2017. Following completion of the Dividend, the Company will own 12 Coronado Shares representing approximately 0.0000021% of all issued and outstanding Coronado Shares (due to fractional Coronado Shares not being distributed, and the number of Coronado Shares that were distributed being rounded down to the nearest whole number of Coronado Shares).
As a result of TAG Oil's distribution of the Coronado Shares, the Company has ceased to be a control person of Coronado and Coronado is no longer a controlled subsidiary of TAG Oil. TAG Oil does not intend to increase its beneficial ownership of Coronado Shares whether in the open market, by privately negotiated agreement or otherwise.
Coronado is a Canadian domiciled publicly traded company that recently disposed of its power generation and mining assets, and the Coronado Shares are listed on the NEX board of the TSX Venture Exchange ("TSX-V") under the symbol "CRD.H", and on the OTC under the symbol "CRDAF". The NEX board is part of the TMX Group and is a regulated trading platform designed for companies, such as Coronado, that are looking to manage costs while restructuring or searching for new business opportunities. In the event that Coronado is able to secure a new business opportunity, it will be eligible to graduate to the TSX-V, the Toronto Stock Exchange main board, or any other exchange where it may qualify.
Coronado's team have extensive expertise in capital market strategies, business development, legal and regulatory compliance, and with a network of equity investors, provides a strong platform to secure an attractive business opportunity. Coronado is also debt-free and currently has 5,662,340 shares outstanding.
For further information regarding the Dividend, please refer to TAG Oil's press release dated April 28, 2017, or contact Computershare Investor Services Inc. at 1-800-564-6253 (inside North America) or 1-514-982-7555 (Outside North America) or by e-mail to the [email protected].
This press release is issued pursuant to National Instrument 62-103 – The Early Warning System and Related Take-Over Bid and Insider Reporting Issues, which also requires a report to be filed with regulatory authorities in each of the jurisdictions containing additional information with respect to the foregoing matters (the "Early Warning Report"). To obtain a copy of the Early Warning Report filed in connection with the Transaction, please see Coronado's profile on the SEDAR website at www.sedar.com.
About TAG Oil
TAG Oil (http://www.tagoil.com/) is a development-stage international oil and gas producer with established high netback production, development and exploration assets, including production infrastructure in New Zealand and Australia. TAG Oil is poised for significant reserve and production growth with several oil and gas fields under development and high-impact exploration in proven oil and gas fairways. TAG Oil is debt-free and currently has 85,282,252 shares outstanding.
Cautionary Note Regarding Forward-Looking Statements
Statements contained in this news release that are not historical facts are forward-looking statements that involve various risks and uncertainty affecting the business of TAG Oil. Such statements can generally, but not always, be identified by words such as "expects", "plans", "anticipates", "intends", "estimates", "forecasts", "schedules", "prepares", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. All estimates and statements that describe the Company's plans relating to the Dividend and Coronado are forward-looking statements under applicable securities laws and necessarily involve risks and uncertainties. Actual results may vary materially from the information provided in this release, and there is no representation by TAG Oil that the actual results realized in the future will be the same in whole or in part as those presented herein.
Other factors that could cause actual results to differ from those contained in the forward-looking statements are also set forth in filings that TAG Oil and its independent evaluator have made, including TAG Oil's most recently filed reports in Canada under National Instrument 51-101, which can be found under TAG Oil's SEDAR profile at www.sedar.com. TAG Oil undertakes no obligation, except as otherwise required by law, to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors change.
SOURCE TAG Oil Ltd.
For further information: Chris Beltgens, Vice President, Corporate Development, Phone: 1-604-682-6496, Email: [email protected], Website: http://www.tagoil.com/, Blog: www.tagoil.com/media-center/tag-oil-blog/