(Alliance News) - Touchstone Exploration Inc said on Tuesday that its subsidiary Primera Oil and Gas Limited was awarded the Cipero onshore block in the Trinidad and Tobago 2022 onshore and nearshore competitive bid round.
Primera Oil and Gas Limited is an oil and energy company based out of Trinidad and Tobago, and a wholly owned Trindadian subsidiary of the Calgary, Canada-based oil and gas company Touchstone.
The award was granted by the Trinidad and Tobago Ministry of Energy and Energy Industries, and the Trinidad and Tobago government have allowed this institution to enter discussions with Primera for the grant of an exploration and production license for the Cipero block.
Touchstone stated that this 29,924 gross acre Cipero block is a strategic area due to its closeness to Rio Claro and Touchstone's Ortoire block.
Heritage Petroleum Company is expected to have a 20% working interest in the Cipero block, with all exploration work carried pit during the six-year exploration term of the license.
Heritage Petroleum Company Ltd is a state-owned oil and gas company in Trinidad and Tobago.
Primera was notified that its bid on the 72,784 gross acre Charuma block failed to meet the technical requirements for the grant of an exploration and production license.
Touchstone Exploration said that Primera has been allowed into discussions with the Trinidad and Tobago Ministry of Energy and Energy Industries to see whether a grant of license is possible.
Chief Executive Officer Paul Baay said: "In addition to the execution of the licence, we will be required to conduct geological studies, reprocess existing 2D seismic data, and apply for regulatory permits prior to drilling, which is anticipated to take a minimum of three years."
Shares in Touchstone Exploration were up 1.0% at 59.60 pence in London on Tuesday.
By Will Neill, Alliance News reporter
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