Touchstone Exploration touts new Rio Claro licence for Primera Oil

Tue, 05th Nov 2024 13:14

(Alliance News) - Touchstone Exploration Inc on Tuesday said that Primera Oil & Gas Ltd, its Trinidad-based subsidiary, has executed an exploration and production licence for the Rio Claro block.

Touchstone Exploration is a Trinidad & Tobago-focused oil exploration company.

Primera has entered the licence alongside the Government of Trinidad and Tobago, the Ministry of Energy and Energy Industries, and a subsidiary of the National Gas Company of Trinidad and Tobago.

According to the terms of the agreement, Primera holds an 80% operating working interest in the Rio Claro licence, while the National Gas Company, or NGC, retains the remaining 20%.

The licence has an initial six-year exploration term, with the possibility of a 19-year extension for areas where commercial discoveries are approved by the MEEI.

"3D seismic data indicates that a substantial portion of the Cascadura structure extends into the Rio Claro License area. This creates a significant opportunity, as any potential natural gas discoveries on this block can seamlessly integrate into our newly commissioned gathering system at the Cascadura C location, situated near the western boundary of the Rio Claro acreage," said Chief Executive Officer Paul Baay.

"Subject to regulatory approvals, we anticipate drilling the first commitment well on this block originating from the Cascadura pad C surface location and targeting a bottom-hole location within the new Rio Claro licence."

Shares in Touchstone Exploration were trading 5.4% higher at 34.77 pence each in London on Tuesday afternoon.

By Holly Beveridge, Alliance News senior reporter

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Touchstone Exploration