Web Site : http://www.taghmenenergy.com/

Company Update Webcast Webcast, watch by clicking here

June 2006 Write Up June 06 Oil Barrel Link Here

May 2006 Write Up : http://www.proactiveinvestors.com/registered/articles/article.asp?TAG

May 2006 Research Report : http://www.objectivecapital.co.uk/taghmen.pdf

April 2006 Presentation : http://www.taghmenenergy.com/documents/taghmen_04_06.pps

Email : info@taghmenenergy.com

Company Profile

Taghmen Energy is an independent oil and gas exploration, development and production company which listed on Londons AIM market in January 2005. It is focused on Latin America and has assembled a group of assets in Central America.

Key Points:

Exploration focus is shifting to new hydrocarbon destinations.
Maturing fields in traditional oil producing regions such as the Persian Gulf and the North Sea have prompted companies to seek alternative destinations for hydrocarbon reserves. As a result, there has been a notable increase in exploration activity amongst the former Soviet Union, Latin/Central America and West Africa regions due to their under-exploited reserves. Much of future oil and gas production is expected to come from these emerging hydrocarbon regions.

... and to the development of smaller fields
With the notable exception of those in the former Soviet Union, new regions however offer relatively smaller fields. Their economics make them distinctly attractive for smaller companies but unattractive for the majors. This has prompted larger companies to focus on production, leaving exploration and development of hydrocarbon reserves with smaller companies. Taghmen characterises these emerging exploration trends in the oil and gas sector.

Corporate strategy entails both exploration and production
What is unique with Taghmen is its intent to be engaged in subsequent production as well. Most exploration companies seek to exit upon the prove-up of their reserves through an asset sale to a larger company. Taghmens intent to be a company maker makes it more selective in licence acquisition. It also offers more comfort regarding the reserve potential of its licence areas.

... and is en route to be implemented through an acquisition
Taghmen is in the process of finalizing the acquisition of Petroleos del Norte S.A. (PDN), a Colombian company that operates three fields close to Taghmens licence areas. The proposed acquisition would provide Taghmen with a larger exploration reserve base, a pipeline infrastructure and some producing assets. This reiterates Taghmens commitment to be a producing company rather than a pure exploration play.

High energy prices underpin the profitability of exploration
Rising demand for energy from fast growing economies such as China and the uncertainty in key oil producing regions are likely to keep world energy prices high. This has reduced the risk profile of exploration projects considerably. Current oil prices make even smaller fields financially viable.

Latin/Central American governments are keen to develop their reserves
As the energy needs of these countries mount, the need to develop their hydrocarbon resources has gained eloquence. Governments are keenly seeking foreign investment and have adopted several policy decisions to attract them to their respective countries. Colombia and Guatemala are no exceptions. Taghmen benefits from these developments
______________________________

Price guide for Mexican/Guatemalan Oil types (3X looks Olmeca type)
http://pemex.com/files/dcpe/epreciopromedio_ing.pdf


Las Casas Weather Link : http://www.fallingrain.com/world/GT/14/Las_Casas.html

Glossary of terms used in the oil business : Link Here



Las Casas Weather Link : http://www.fallingrain.com/world/GT/14/Las_Casas.html

Glossary of terms used in the oil business : Link Here

Details on what is an oil well : Link Here

Research links ;

http://www.taghmenenergy.com/documents/taghmen_float.pps

http://www.resourceinvestor.com/pebble.asp?relid=8052

http://www.taghmenenergy.com/documents/taghmen_aim_listing.pdf

http://www.findarticles.com/p/articles/mi_m3159/is_8_220/ai_55822340/pg_3

http://www.costaricabusinessclub.com/187/english/news.html

http://www.mbendi.co.za/a_sndmsg/news_view.asp?I=67434&PG=23

http://www.ihsenergy.com/company/pressroom/articles/files/07-05-worldwatch.pdf

http://www.ideasintl.com/news/Articles/TaghmenEnergy.htm

New September 2005 Investor Presentation (MS Powerpoint);
http://www.taghmenenergy.com/documents/taghmen_09_05.pps


Major Shareholders

Significant stakeholders now include Fidelity, Artemis, RAB, Metage and Millennium.

Major Shareholders : Shares in issue: 82.3m


Major Shareholders....................................Amount....................% Holding

Gregory Charles Smith (Dir)......................13,600,001................16.52
Millennium Global High Yield Fund Ltd........7,153,848..................8.69
Chasm Lake Management Services LLC......5,615,385..................6.82
OCH Ziff Capital Management.....................5,200,000..................6.32
Artemis Inv Mgmt Ltd.................................5,000,000..................6.07
Fidelity Management and Research.............4,745,755..................5.77
RAB Energy Fund Ltd................................4,480,770..................5.44
RAB Special Situations LP.........................3,713,077..................4.51
THIRD POINT LLC.....................................2,800,000..................3.40
Moore Capital Management Inc...................2,538,462..................3.08
Liberty Square Asset Management..............2,500,000..................3.04
Meridian Natural Resources High Yield.........2,423,078..................2.94
Metage Funds Ltd.......................................1,897,470..................2.30

Other directors
James De Vaux Guiang (Dir).......................1,000,000...................1.215
Nicholas Hugo Gay (Dir)............................750,000...................0.911
John McNeil Scott (Dir)............................750,000...................0.911

2006 Work Plan For Guatemala and Colombia

Guatemala (Active drilling 2006 to early 2007)



For Las Casas license

Ongoing = Long Term Production Testing - Las Casas 3X
May to July 2006 ***** Sidetrack of Las Casas 1X
July to August 2006 ***** New Well Huapec 2X

For A7-2005 license

June to July 2006 ***** Workover of Tortugas 4 (any order 4/5/2)
July to August 2006 ***** Workover of Tortugas 5
August to Sept 2006 ***** Workover of Atzam 2
May 2006 ***** 2D Seismic at Tortugas / Atzam
June to Sept 2006 ***** 3D Seismic at Tortugas / Atzam
October 2006 onwards ***** Drilling of 3 news wells at Tortugas/Atzam
___________________________________________________________________

Colombia (Process and Prepare ahead of 2007 drilling)



Midas License

May to June 2006 ***** Reprocess old seismic and Well Studies
June 2006 ***** Geochecmical Survey
August to November ***** New Seismic acquisition

La Poloma License

May to June 2006 ***** Reprocess seismic and well studies
July to August 2006 ***** Geochemical Survey
Nov to December 2006 ***** New Seismic acquisition

PDN Colombia

Details to be issued once acquired

IC Write Up : 21st Apr 2006 IC Write Up Link Here
_________________

Research report (12th May 2006) on TAG in the link below :

Here is the comment from Nick Gay -

"please find a research report prepared by objective capital on taghmen.This covers our existing asset base,but does not take into account any impact of the PDN acquisition.Objective capital has also applied its own conservative geological risk factors to the various prospects.Having done this,they calculate a value for the assets of $84.3 million,well in excess of the current stock market valuation.Removing their risk factors indicates a value of $746.7 million.We obviously have a lot to play for !"

http://www.objectivecapital.co.uk/taghmen.pdf

Sub 50p to buy for those quick.

Confirmation there of shorters, with a 30K short rollover.

Want to make them hurt, then buy away ;)

It is a rollover short, as before it you had to buy above 50p and now you can buy under 50p as the short is rolled over.

This answers all your questions and all your negative posters, set up and well executed short selling, to be followed in April by a sharp move up when they not only cover but also go long.

Well played to them, and everyone adding at these prices can say thanks for the cheap entry point too :) is my opinion.

Very interesting today that the on line sell limit is moved up a lot and the buy limit reduced a lot, should mean a decent size buy order in the background now.

I think that the strength will slowely come back in now, possibly still weak next week, but after that then no.

The full operations update is coming very soon, and I am expecting it to be rosy in terms of 3X ;) The "bee's knees" ? ;)

Can't wait to get into the next financial year, hopefully then things will start to pick up looking forward to a pros' new year.

Should be Technotamed, new tax year starts on Thursday, I will be adding more TAG Tue or Wed, and then we just await the operations update.

Going to be a strong Q2,3,4 of 2006 for TAG, thats my opinion, and you can quote me on that later, going to be lots of newsflow and lots of things going on.

Apart from 3X being commercial, the next big thing and due to start any time soon is the sidetrack of 1X. Well 1X is very exciting, in the past it has flowed at up to 2500bopd, and what comes from it after the sidetrack could be a very big boost to TAG at the half year. Sidetrack will take around 45 days, and starting any time soon.

TAG is fully funded with cash in the bank to pay for the whole programme, got an exciting plan of drills of workovers for 2006, got 2 new licenses in Colombia to explore in 2007, will have X generating revenues, and soon to be joined by 1X creating revenue, so they then have cash flow coming in. The underlying business is very very strong in my opinion, something that is not reflected in the SP, so its roll on operations update, and then see where we go :)

Added the following to the header, as a reminder of the potential of 1X, the original well was not made into a production well due to politics at the time, that situation is cleared now, and the well will be sidetracked in the weeks ahead, and could provide some very nice news. Sidetrack will be done by Rolln , who also drilled 3X, so no worries on their capability to do a decent drill, they also have the recent experience of drilling 3X to ensure the sidetrack on 1X will yield best results.


A taste of things to come ? 1X is to be sidetracked as the next drill April/May 06 :

http://www.findarticles.com/p/articles/mi_m3159/is_8_220/ai_55822340/pg_3

"Canada's Enterprise Development Corp. tested its Las Casas 1X well in September 1998. The well flowed 38 [degrees] API crude with wet gas at rates up to 2,500 bopd. Testing was suspended to procure higher-capacity test equipment. The company was optimistic that the well will be deemed commercial. The company also plans a horizontal sidetrack of the Las Casas 2x well."

.

the other article is off line now (the link below, I think removed at the request of TAG, article from 1998 or 1999), but the full text is in my post of June 2005 as below. Apart from the LC 1X flow rates and details of 1X, it goes on to deal with the Huapec area (which will be TAG Huapec 2X drill and due in H2 2006). There are strong oil shows in the Coban D with a 530 foot interval (161 metres) and that my friends is why the Huapec structure offers very good potential.


http://www.costaricabusinessclub.com/187/english/news.html

GUATEMALA CITY, Guatemala

Mexpetrol Guatemala Corp Received Approval From Director General, Hydrocarbons In Guatemala To Proceed With Testing And Development, Plans For The Las Casas And Huapac Structures.
American Reserve Energy Corporation and Las Casas Energy Corporation reports:
Mexpetrol Guatemala Corporation, 100% owned subsidiary of Las Casas Energy Corporation, today received approval from the Director General of Hydrocarbons in Guatemala to proceed with testing and development plans for the Las Casas and Huapac structures. These structures are located within Mexpetrol's 100% owned 321,685 acre Exploitation Contract. Testing to determine stabilized oil production flow rates and sales volumes of the sweet 37 deg API oil from the Las Casas 1X well will start early next week. It is estimated that one week of testing the Las Casas 1X well is required and daily production rates will be announced when determined. The Las Casas 1X well tested 500 BOPD in 1989 from 40' of perforations. Mexpetrol tested the well at 700 BOPD in 1996 from the same 40' of perforations. In 1998 it was discovered the 40' of perforations made in 1989 were off target and the well was reperforated on target between 8420' to 8760' with 311' of perforations made successfully and tested. The final flowing oil and gas rates from this test exceeded the 2450 BOPD capability of the oil/ gas/water separator and the well had to be shut in before a stabilized oil production rate could be determined. The well has been shutin since then.
The Las Casas 2X well, situated down dip and 1300' on surface from the Las Casas 1X well will be reentered and a lateral extension drilled. Whipstocking this well is anticipated to result in increased inflow rates substantially higher than the initial 2X well production test results. Petroleum consultants Ryder Scott Company estimate the Las Casas structure could require the drilling of up to 10 to 15 wells. A new large capacity gas/oil/water separator, jet pump, storage tanks and ancillary equipment have been installed on site. An additional 5,000 Bbl oil storage tank is under construction.
Forty (40) km to the north of Las Casas is the Huapac #1 well drilled to 8920' by Getty Oil in 1980. This well was tested in three Coban "C" (5212' 7530') intervals for oil with negative results and P and A'd in December of the same year. Below the Coban "C" is the Coban "D" dolomite from 7530' to 8650'. This 530' interval demonstrates a strong gas (oil) show on logs from 8080' 8610' and will be tested later this year as well workover equipment becomes available. Target is +300 BCF gas.
Additionally, a major U.S. energy production company has opened negotiations with a written joint venture offer for 75% of Las Casas' 50% owned Wyoming properties.

As can be seen from the above articles, 1X could offer some serious flow rates. (1X sidetrack starting very soon too and will take approx 45 days to complete)

Huapec 2X to be drilled in H2 could also offer some big things.

All this with a full operations update due this month, including our first looks at what 3X has been doing in terms of production levels.

Should be a strong month on TAG, in fact should be strong all the way now, for the rest of 06 once we get this end of year tax selling through, which will be this week :)

All in all fine, no problems, just a little slow.

Still keeping 3X under wraps, just saying during swabbing it rose to 150bopd on the one zone thats been perforated. Second zone is 44 feet after the first zone of 31 feet. By the looks of this they have bowed to pressure, and are now going to be keeping us more updated with better news flow :)

Seismic sounds good, very encouraging and also shows, no bad news. Pressure results should come soon, so plenty more news to come.

1X from 1st May so TD news around the 15th of June.


Taghmen Energy PLC 03 April 2006 TAGHMEN ENERGY Plc
www.taghmenenergy.com
GUATEMALA OPERATIONS UPDATE, MARCH 2006

Taghmen Energy Plc ('Taghmen' or the 'Company') an independent oil and gas
exploration, development and production company, focused on Latin America, is
pleased to provide the following operational update on Guatemala.


Well 3X
Work continues on Well 3X under the planned long term production test. A 31
feet thick zone was perforated in November 2005 and, as reported, initially
flowed at a calculated rate of 100 barrels of oil per day ('bopd') under
swabbing operations, rising during this phase of the test to 150 bopd. In
January, a down hole pump was installed and the well was tested at various
production rates. The well was shut in for a pressure build-up test in late
February. Pressure recorders will be pulled within the next few days. Under the planned test programme, the second of the three prospective zones in Well 3X will be perforated. The perforations will cover 44 feet of pay over a gross
interval of 167 feet.

Extended testing of each zone is necessary to allow for the collection of
reservoir data and for the assessment of possible damage that may have been
caused whilst drilling the well.

Seismic Acquisition
The planned acquisition of 2D seismic over Las Casas, Huapac and Yaxa areas of
Contract 6-93 is proceeding on schedule with all lines covering the Las Casas
Field having already been recorded and sent for processing. Initial indications
are that the data being collected is generally of very high quality. Line
clearance and survey operations have been completed over Yaxa and are expected
to be finished over Huapac by early April. It is expected that the seismic
acquisition on Contract 6-93 will be completed by mid April at which time the
seismic crews will immediately move on to Licence 7-2005 (Tortugas/Atzam) and
commence both 2D and 3D seismic operations there.


Well 1XA Sidetrack
The drilling of the side track to well 1X (well 1Xa) is expected to commence on
1st May following the interpretation of the Las Casas seismic to determine the
optimal bottom hole location. It is expected that drilling of the sidetrack will take approximately 40 days to complete.


Licence 7-2005 (Tortugas/Atzam)
The Environmental impact study has been submitted for approval and clearance to
commence operations on Contract A7-2005 is expected shortly.


Work has already begun on fabricating workshops, offices and accommodation units which will be transported to the Tortugas area as soon as the approval to
commence operations is received. These units will provide a base from which to
undertake the work-over of 3 existing wells from which there has been proven
production in the past.


Review of Release
This release has been reviewed by the Company's Chief Operating Officer (Mr. J.
Scott), Geologist (Mr. K. Dean who is a Fellow of the Geological Society,
London) and its consultant Reservoir Engineer (Griffin Petroleum Consulting
Ltd.).

Messrs Scott's and Dean's biographies are on the Company's website, which can be found at www.taghmenenergy.com . Griffin Petroleum Consulting Ltd are a firm of Chartered Engineers.

PP,

should we have any concern about the following statement referring to possible damage or do you think this is routine??

'Extended testing of each zone is necessary to allow for the collection of
reservoir data and for the assessment of possible damage that may have been
caused whilst drilling the well.'

SM, no concerns for me. They need to do the testing to firm up the reservoir data, and at the same time can check if the balanced drilling approach damaged whilst going on. They need this drill data to finalise the exact method and approach to use on 1X sidetrack, which starts on the 1st of May and will complete TD mid June.

The biggest thumbs up for me is the seismic crew, they have been on site, seen whats happening, listened to what is going on, and recently requested TAG to pay for the seismic work in TAG shares at 55p instead of cash.

Now that is one big vote of confidence.

Someone picked up 40K at 49p at 10:01, nice buy. Its showing in the sell column due to 1 hour delay, MM's marked up the price to 49p bid as it was reported and then dropped back to 48p, rather than show a mid price trade.....why is that ? ;)

PP, thanks for reminding me about the seismic group share payment. I think this is going to go from strength to strength. No idea about MM's strategy sometimes, drop price to encourage buying to sell MM holdings or will this deter buyers. Based upon the encouraging news today, suggest they are trying to encourage more buyers, but WDIK!

On balance I would now say I am more happy than I was yesterday (as no RNS to read or confirm) and will steadily accumulate more over the period from now to mid-June (next 10 weeks) (1X sidetrack reaching TD date).

Given the progress on 3X and my hope that now they will keep us more updated on progress as it happens, I would guesstimate that testing pay zone 2 and then pay zone 3 will lead to a final commercial flowing well at around late June/early July (eg no more testing required and it can be let to run and produce then). The detailed testing of each zone is slowing it down, but its for the best.

I will request, and anyone contacting Nick or Geoff should too, that we are updated with the results of each pay zone as its available, as this is price sensitive information now, we need to know from each zone what the pumpable rates are for the final figure of PZ1+PZ2+PZ3. I hope they will oblige that.

50K buy at 50p earlier, there has been a string of large buys at around the 50p level, not constant but they come from time to time, someone is quite happy to pick up big lumps, but clever enough not to make the price rise by doing so, so they can keep picking up more :)

For the chartists there is this to share from DevonLad, all double dutch to me, but sounds positive :)


Devonlad - 4 Apr'06 - 11:56 - 1117 of 1118

The charts are strongly supporting a buy in TAG as it stands. I bought in this morning so I'm putting my money where my mouth is. The MACD is just about to turn positive from negative, generally a very strong buy indicator and my personal favourite. The SP moved up inside the lower bollinger yesterday indicating support from the lower bollinger and is now heading for the 20 day SMA and the daily slow stochastic has turned positive. The target price at the moment in the short term is the upper bollinger at 58p although a positive movement soon with a constant standard deviation would improve this to 64p, not a time to sell! All imho of course and the same pattern is just about to happen at JKX as well FYI.

100K buy at 49p, no price movement.

Either a short closing or an insti buy of weak holders sales :) Was not an "X" but the mid price makes an insti buy possible.