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TAG Oil to Sell New Zealand Royalty Interests for Up to $2.5 Million

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TAG Oil to Sell New Zealand Royalty Interests for Up to $2.5 Million

TAG Oil ( (TSE:TAO) ) has shared an announcement.

TAG Oil Ltd. has signed a definitive agreement to sell its New Zealand royalty interests for up to US$2.5 million, which includes a cash payment of US$2.2 million at closing and potential milestone payments. This transaction is part of TAG Oil’s strategy to streamline its portfolio, strengthen its balance sheet, and fund its 2025 capital program. The company is also working on securing a strategic partner for the BED-1 concession and expanding its acreage in Egypt.

Spark’s Take on TSE:TAO Stock

According to Spark, TipRanks’ AI Analyst, TSE:TAO is a Underperform.

TAG Oil’s overall stock score is low, primarily due to significant financial challenges, including negative profitability and cash flow issues. While technical indicators offer some neutral signals, the negative valuation metrics further weigh down the score, reflecting a cautious outlook for investors.

To see Spark’s full report on TSE:TAO stock, click here.

More about TAG Oil

TAG Oil is a Canadian-based international oil and gas exploration company with a focus on operations and opportunities in the Middle East and North Africa.

YTD Price Performance: -42.86%

Average Trading Volume: 305,635

Technical Sentiment Signal: Strong Buy

Current Market Cap: C$19.21M

Learn more about TAO stock on TipRanks’ Stock Analysis page.

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