REG - Touchstone Explrtn. - COMMENCEMENT OF ROYSTON-1X OPERATIONS

Touchstone ExplorationAnnouncement

06/02/2023 07:00

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RNS Number : 9411O  Touchstone Exploration Inc.  06 February 2023

COMMENCEMENT OF ROYSTON-1X OPERATIONS

 

CALGARY, ALBERTA (February 6, 2023) - Touchstone Exploration Inc.
("Touchstone", "we", "our", "us" or the "Company") (TSX, LSE: TXP) reports
that it has commenced operations at the Royston-1X sidetrack well located on
the onshore Ortoire block in the Republic of Trinidad and Tobago. Touchstone
has an 80 percent operating working interest in the well, with Heritage
Petroleum Company Limited holding the remaining 20 percent working interest.

 

Touchstone has completed the mobilization of Star Valley Drilling Rig #25 to
the Royston surface location, and the drilling rig has passed all required
pre-drilling inspections. Royston-1X is a sidetrack well reentering the
previously drilled Royston-1 well and is expected to be drilled to a measured
depth of 11,300 feet, targeting hydrocarbon accumulations in the Middle
Miocene Herrera overthrust, intermediate, and subthrust sheets.

 

The Royston-1 exploration well was drilled in 2021 to a total depth of 10,700
feet and identified over 1,000 feet of Herrera section in the overthrust and
intermediate sheets, encountering light, sweet crude oil in both sheets.

 

Touchstone is targeting to drill the Royston-1X well through the previously
tested Herrera sands to penetrate new sands at the base of the intermediate
sheet and into the untested subthrust sheet. The well is anticipated to be
drilled and logged within 45 days, and the Company will provide further
updates when drilling operations are completed.

 

Paul Baay, President and Chief Executive Officer, commented:

 

"The Royston-1 well drilled in 2021 showed tremendous potential, flowing
significant volumes of 33-degree API oil from both the overthrust and
intermediate sheets; however, mechanical challenges prevented meaningful
production from the well. The challenges encountered at Royston-1 and the
lessons learnt have helped us to design a drilling plan to optimally evaluate
the Herrera Formation. As we target the deeper level, our enhanced
understanding of the structure will allow us to assess the full potential of
the intermediate sheet, which was not fully penetrated or completed in
Royston-1, as well as the subthrust sheet which is a prolific target in
offsetting oil pools.

 

Following our recent capital raise, we are excited for 2023 as we commence our
latest drilling program and continue construction of our Cascadura facility
with a goal of bringing on production as soon as practicable."

 

For further information about Touchstone, please visit our website at
www.touchstoneexploration.com (http://www.touchstoneexploration.com/) or
contact:

 

Touchstone Exploration Inc.

Mr. Paul Baay, President and Chief Executive Officer
 Tel: +1 (403) 750-4487

Mr. James Shipka, Chief Operating Officer

 

Shore Capital (Nominated Advisor and Joint Broker)

Daniel Bush / Toby Gibbs / Iain Sexton
              Tel: +44 (0) 207 408 4090

 

Canaccord Genuity (Joint Broker)

Adam James / Gordon Hamilton
                  Tel: +44 (0) 207 523 8000

 

FTI Consulting (Financial PR)

Nick Hennis / Ben Brewerton
                       Tel: +44 (0) 203 727 1000

Email: touchstone@fticonsulting.com (mailto:touchstone@fticonsulting.com)

Touchstone Exploration Inc.

 

Touchstone Exploration Inc. is a Calgary, Alberta based company engaged in the
business of acquiring interests in petroleum and natural gas rights and the
exploration, development, production and sale of petroleum and natural gas.
Touchstone is currently active in onshore properties located in the Republic
of Trinidad and Tobago. The Company's common shares are traded on the Toronto
Stock Exchange and the AIM market of the London Stock Exchange under the
symbol "TXP".

 

Forward-looking Statements

 

Certain information provided in this announcement may constitute
forward-looking statements and information (collectively, "forward-looking
statements") within the meaning of applicable securities laws. Such
forward-looking statements include, without limitation, forecasts, estimates,
expectations and objectives for future operations that are subject to
assumptions, risks and uncertainties, many of which are beyond the control of
the Company. Forward-looking statements are statements that are not historical
facts and are generally, but not always, identified by the words "expects",
"plans", "anticipates", "believes", "intends", "estimates", "projects",
"potential" and similar expressions, or are events or conditions that "will",
"would", "may", "could" or "should" occur or be achieved.

 

Forward-looking statements in this announcement may include, but are not
limited to, statements relating to Touchstone's strategies and goals,
including initial production from Cascadura and the timing thereof, the
quality and quantity of prospective hydrocarbon accumulations based on
internal interpretations of wireline logs, and the Company's exploration plans
and strategies, including future exploration and drilling plans and
anticipated drilling operations and the timing thereof. Although the Company
believes that the expectations and assumptions on which the forward-looking
statements are based are reasonable, undue reliance should not be placed on
the forward-looking statements because the Company can give no assurance that
they will prove to be correct. Since forward-looking statements address future
events and conditions, by their very nature they involve inherent risks and
uncertainties. Actual results could differ materially from those currently
anticipated due to a number of factors and risks. Certain of these risks are
set out in more detail in the Company's 2021 Annual Information Form dated
March 25, 2022 which is available under the Company's profile on SEDAR
(www.sedar.com (http://www.sedar.com/) ) and on the Company's website
(www.touchstoneexploration.com (http://www.touchstoneexploration.com/) ). The
forward-looking statements contained in this announcement are made as of the
date hereof, and except as may be required by applicable securities laws, the
Company assumes no obligation or intent to update publicly or revise any
forward-looking statements made herein or otherwise, whether as a result of
new information, future events or otherwise.

 

Competent Persons Statement

 

In accordance with the AIM Rules for Companies, the technical information
contained in this announcement has been reviewed and approved by James Shipka,
Chief Operating Officer of Touchstone Exploration Inc. Mr. Shipka is a
qualified person as defined in the London Stock Exchange's Guidance Note for
Mining and Oil and Gas Companies and is a Fellow of the Geological Society of
London (BGS) as well as a member of the Canadian Society of Petroleum
Geologists and the Geological Society of Trinidad and Tobago. Mr. Shipka has a
Bachelor of Science in Geology from the University of Calgary and has over 30
years of oil and gas exploration and development experience.

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