These goals consider that Tanager’s initial operations may be small, and therefore expenses relative to production will be higher than desired. With continue growth through acquisition, exploration, development, and production optimization, these goals should improve measurably over the next two to three years.

Strategies

• Utilize equity financing when warranted
• Limit long term debt to less than 2.5 times annual cash flow initially, reducing to less than 1.5 times longer term
• Keep a close watch on rates of return to ensure proper allocation of the capital available.

Business Plan

Tanager currently holds interests in mining claims in the Burchell Lake Area of the Thunder Bay Mining Division of Ontario These claims are in the Shebandowan Gold Trend.  Tanager’s plan it to either sell these interests for cash, or for the commitment of a work plan to earn a percentage interest, the percentage dependent on the extent of the work plan.

The corporation’s main efforts will be focused on the petroleum and natural gas sector. The next step in its growth will be the identification and signing of letters of intent for the acquisition of producing oil and gas properties valued at up to $15,000,000. These purchases will be made utilizing a combination of debt and equity financing to best suit the Corporation’s objectives. The basic terms of the financing are currently being established, and an initial equity issue should be done in the October/November period.

The Corporation will use consultants and in-house board members to provide the geological and geophysical expertise needed to minimize overhead and maximize aerial expertise.

Once these projects are acquired and development drilling completed on the lands, the next phase in Tanager’s development will be to include exploration projects developed from geological studies on lands acquired at Alberta and Saskatchewan Crown Land Sales.

The desired end result for Tanager will be carefully and considered but steady growth both by exploration and acquisition. By following this plan the Corporation should be a significant resource company within the next 3 to 5 years, with a production base of at least 400 barrels per day in 18 to 24 months, and double that after three years.