TG World Energy Corp.
TSX VENTURE : TGE

TG World Energy Corp.

January 18, 2007 12:23 ET

TG World Provides Tenere 'Niger' Drilling Update

Saha- 1 at Total Depth; Testing Program Planned - Saha- 1 Exploration Well Reaches Total Depth of 3,500 meters - Testing Program Planned - Operating Committee Confirms up to Three Wells Expected to be Drilled and New Seismic Acquisition Program for 2007

CALGARY, ALBERTA--(CCNMatthews - Jan. 18, 2007) - TG World Energy Corp. (TSX VENTURE:TGE) ("TG World" or the "Company") is pleased to provide an update on the exploration campaign being carried out by the project operator, CNPC International Tenere ("CNPCIT" or the "Operator"), a unit of China National Petroleum Corporation ("CNPC"). For past information concerning the Tenere Project, please refer to the Company's website at www.tgworldenergy.com.

The Operator has advised the Company that the Saha -1 Exploration Well being drilled in the Tenere Permit, Niger, reached Total Depth of 3,500 metres at 2400 hours on January 16, 2007, Niger time, and the Operator is now proceeding to log the open hole section and finalise plans for a drill-stem testing program.

Readers are cautioned that the Company has insufficient information at the current time to assess whether the structure targeted by the Saha-1 well contains any meaningful quantities of hydrocarbons or whether the Saha-1 well will be capable of producing hydrocarbons in commercial quantities. Testing of the well and analysis of the test data are required to enable the Company to make such determinations.

Saha -1 Testing

TG World has been advised that, following completion of logging runs and bottom-hole operations, which is expected to take 3 to 4 days, the Operator plans to rig up its on-site testing unit. Testing is scheduled to require approximately two weeks. The Company plans to issue a separate news release, to report the results of the testing program, when those results are made available to TG World.

Tenere Block - Second Exploration well

Following completion of Saha-1 testing operations, the rig will be moved to commence drilling of the second planned CNPCIT-operated exploration well. CNPCIT has advised the Company that construction of the drilling platform at the second location has been completed. Rig-move and rig-up to spud may take as long as two months because of desert conditions. CNPCIT has indicated that it is considering re-naming the second well, previously referred to as Fachi West -1, to correspond better to Niger internal nomenclature.

Operating Committee Meeting Dec. 13, 2006

At an Operating Committee meeting held on December 13, 2006 in Beijing, CNPCIT and TG World confirmed their commitment to an aggressive Work Program and Budget for 2007. The partnership will drill two Exploration wells (firm) and, in the event of a discovery, an Appraisal well (contingent). As well, the 2007 budget provides for the acquisition of an additional 700 kms of 2D seismic data, to provide additional regional coverage and prospect-specific detail coverage. The Operator has indicated that it also plans to acquire 3D seismic data in the event of a discovery.

Corporate Profile

TG World is a Calgary-based, junior international oil and gas exploration company. Through a wholly-owned subsidiary, TG World holds a 20% carried interest in the Tenere Block, an oil and gas concession in the Republic of Niger, Africa, measuring 71,155 square kilometers (17.3 million acres). The Tenere Block contains the northern half of the Termit - Tenere Rift. The southern half is adjacent to the Agadem Block, where six oil discoveries and one gas discovery have been announced. CNPCIT, a unit of CNPC, holds the other 80% of the Tenere concession and acts as operator of the project. The Saha-1 exploration well, the first of a three-well back-to-back program, began drilling on October 30, 2006.

On March 18, 2006, TG World Energy Inc., a wholly-owned subsidiary of TG World, entered into a major exploration project through the formation of a joint venture with Brooks Range Petroleum Corporation. The BRPC / TG World Joint Venture ("JV") was formed as an exploration strategic alliance covering a large area of mutual interest on the Alaskan Central North Slope. Membership in the JV was expanded in June 2006 with the addition of Ramshorn Investments, Inc., a wholly owned subsidiary of Nabors Drilling USA, LP, and in October 2006, with the addition of Bow Valley Alaska Corporation, a wholly-owned subsidiary of Bow Valley Energy Ltd. The Company's indirect interest in the Central North Slope Alaska Joint Venture includes a 25 - 35% working interest in approximately 182,394 net acres of lease lands and an AMI under which additional lands may be acquired. The Company has a 35% working interest in up to three wells planned to be drilled on the Gwydyr Bay Prospect Area in 2007.

The statements contained in this News Release that are not historical facts are forward-looking statements. Forward-looking statements (often, but not always, identified by the use of words such as "expect", "may", "anticipate" or "will" and similar expressions) may include plans, expectations, opinions or guidance that are not statements of fact. Forward-looking statements are based upon the opinions, expectations and estimates of management as at the time such statements are made and, in certain cases, information provided or disseminated by third parties, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or outcomes to differ materially from those anticipated in or implied by such forward-looking statements. Accordingly, readers should not place undue reliance upon such forward-looking statements. The foregoing factors include, but are not limited to, such things as the volatility of prices for oil and gas and other commodities, commodity supply and demand, fluctuations in currency and interest rates, inherent risks associated with the exploration and development of oil and gas properties, ultimate recoverability of reserves, timing, results and costs of exploration and development activities, availability of financial resources or third-party financing, availability of drilling and related equipment and new laws and regulations (domestic and foreign). Forward-looking information respecting anticipated drilling activities on the Tenere Concession is based upon advice received from the operator of the Tenere Concession, CNPC International Tenere Ltd., which, in turn, is based, among other things, upon the current budget, development plans and overall strategy for exploration of the Tenere Concession developed by CNPC International Tenere Ltd., all of which are subject to change. The forward-looking statements of TG World Energy Corp. contained in this News Release are expressed qualified, in their entirety, by this cautionary statement. Additional information relating to various risk factors to which TG World is exposed in the conduct of its business (and which may affect the expectations or outcomes reflected in the forward-looking statements contained in this news release) are described in publicly available documents filed by TG World with certain securities regulatory authorities in Canada, which are available through SEDAR, at www.sedar.com.

The TSX Venture Exchange has neither approved nor disapproved the contents of this news release and the TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • TG World Energy Corp.
    Clifford M. James
    President and CEO
    (403) 265-4506
    (403) 264-7028 (FAX)
    or
    TG World Energy Corp.
    Paul Moon
    Director, Corporate Communications
    (403) 265-4506
    (403) 264-7028 (FAX)
    Email: info@tgworldenergy.com
    Website: www.tgworldenergy.com