TAG Oil to Launch Normal Course Issuer Bid

TAG Oil Ltd. announced that, subject to regulatory approval, the Company intends to launch a normal course issuer bid to purchase up to 7,583,858 of its common shares through the facilities of the TSX Venture Exchange.

The purchase of common shares under the bid will enable the Company to acquire its shares for cancellation.
The shares that may be repurchased over a twelve month period represent approximately 10% of the Company's 91,631,081 outstanding common shares in the public float.

The Company has appointed First Canada Capital Partners Inc. as the Member that will be conducting the bid on behalf of the Company with purchases under the bid expected to be able to commence on October 2, 2008. The amount and timing of such purchases will be determined by TAG Oil and are limited to purchasing a maximum of 2% of the Company's outstanding common shares in any thirty day period.