Touchstone Exploration Share News (TXP)

(Sharecast News) - Touchstone Exploration has completed drilling the Chinook-1 exploration well on the Ortoire exploration block, onshore Trinidad and Tobago, it announced on Wednesday, where it has an 80% working interest as the operator, with Heritage Petroleum Company holding a 20% working interest.
The AIM-traded firm said that the well encountered "significant" hydrocarbon accumulations based on wireline log data.

Chinook-1 was the third exploration well it had drilled on the Ortoire exploration block, and the third hydrocarbon discovery since it started the Ortoire exploration drilling program in August 2019.

Touchstone said Chinook-1 was drilled to a total depth of 10,039 feet to test a separate structural formation 1.5 kilometres south from the successful Cascadura gas discovery.

Wireline logs indicated a "significant" natural gas pay totalling approximately 589 net feet in three unique thrust sheets in the Herrera sands.

Additional natural gas pay of approximately 20 net feet was encountered in the shallower Cruse formation.

Completion and testing of the well was expected to be undertaken during the first quarter of 2021.

Touchstone said it expected the drilling rig to move to its Cascadura Deep location before the end of October.

"The results from the Chinook well exceeded pre-drill expectations," said president and chief executive officer Paul Baay.

"The successful exploration well further confirms the geological model developed by our team and is expected to provide significant development opportunities in the Chinook area."

Baay said that, with both the shallow and deepest zones being new to the area, it also identified future exploration opportunities.

"The company's focus is now on the drilling of the Cascadura Deep exploration well, which will impact the timing of Chinook-1 production testing operations to ensure the safety of operations."

At 1343 BST, shares in Touchstone Exploration were up 32.44% at 116.55p.