TAG Oil Ltd. (OTC:TAOIF) Stock Gains Momentum: Here is Why

The oil and gas sector has delivered considerable gains over the past few years owing to the turbulence in the sector, and it has continued to be an interesting sector for investors. This morning, investors could consider taking a closer look at TAG Oil Ltd. (OTC:TGOLF), which had come into focus on Wednesday following a key new announcement. Yesterday, the company announced that the personnel, camp, natural frac sand, and multistage hydraulic equipment had been mobilized to its BED4 T100 well.

Static reservoir pressure as well as temperature measurements had also been performed so as to create the simulation model and conclude the design of the T100 well. The company also announced that the large-scale completion equipment had been rigged up at the T100 location. Other forms of equipment that had been mobilized at the location include sand conveyors, frac heads, connection lines, and treatment fluid.

The company had made plans to begin the fracture treatment on April 15, and that remained on schedule. The duration of the treatment had been projected for a week. The flow-back production operation would follow soon after, prior to the end of this month. The initial production results are expected to be announced at some point in May, the company noted.

In light of the announcement from the company, it could also be a good idea for investors to consider taking a closer look into TAG Oil as a company. The company is involved in international oil and gas exploration and is based in Canada. It is mainly focused on exploration opportunities in the North African and Middle Eastern regions, two of the more oil-rich regions in the world. Most of its operations are concentrated in those regions as well. It could be a good move for investors to perhaps add the stock to their watch lists.