TAG Oil Announces Upsize of Offering to $10 Million to Advance Unconventional Development Activities on Its Large Oil-In-Place Resource Play at BED-1 and SERQ Concessions, Egypt

Executive Summary

• TAG Oil announced an upsized financing of up to $10,000,000 in units at $0.10 per unit, driven by strong investor demand.
• The offering is split into a $5.64 M LIFE exemption portion and a $4.36 M private‑placement portion, each consisting of one common share plus one warrant (exercise price $0.13, 48‑month term).
• Net proceeds will fund appraisal and development work on the BED‑1 and SERQ concessions in Egypt, including drilling a new vertical delineation well at BED‑1 and a DFIT at SERQ, with an additional well planned on SERQ.

Key Details

• Total Upsized Amount: $10,000,000 of units
• Unit Price: $0.10 per unit (each unit = 1 common share + 1 warrant)
• Offering Structure:
• LIFE Offering: $5,640,000 – prospectus‑exempt, free‑trading immediately after closing, offered under the Listed Issuer Financing Exemption in all Canadian provinces except Quebec and other qualifying jurisdictions.
• Private Placement Offering: $4,360,000 – private placement to accredited investors, subject to a statutory hold period of four months + one day from closing.
• Warrant Terms: Exercise price $0.13 per common share; exercisable for 48 months after closing.
• Agents’ Option: Up to an additional $1,500,000 in units may be added to the Private Placement at any time before the offering closes.
• Broker Compensation: Cash commission of 8.0 % of gross proceeds plus broker warrants equal to 8.0 % of units sold (subject to reduction for certain “president’s list” purchasers). Broker warrants allow purchase of one unit at $0.10 for 48 months after closing.
• Use of Proceeds:
• Advance appraisal and development activities at the Badr Oil Field (BED‑1) and Southeast Ras Qattara (SERQ) concessions in Egypt’s Western Desert.
• Drill a new vertical delineation well at BED‑1 targeting lighter‑gravity crude in the Abu Roash “F” resource play.
• Perform a Diagnostic Fracture Injectivity Test (DFIT) on an existing wellbore at SERQ to evaluate ARF potential.
• Drill an additional unconventional resource well on the SERQ concession.
• Closing Timeline: Expected around the week of February 16, 2026, subject to regulatory approvals and exchange conditional approval.
• Listing Plans: Company will seek to list the warrants on the TSX Venture Exchange.

Notable Quotes

(No direct quotes were provided in the release.)