Member Info for 1750mk1

imo afaik...

1. Why is a company with ~2k bop/d (my est £25 netback ie £18m/yr income) trading with a mcap of ~£16m .

... Oil price crash since Oct combined with wider market crash to xmas. As mentioned... The TXP chart mirrors oil in all but the breakout on the oil chart last week. Also possibly that they are relatively new to AIM and have so far had a 'boring' compounding growth strategy with no headline blockbuster exploration to grab attention ... until now with Ortoire starting Q2. Doesn't have twitter ramp crews working it either (which is a good thing of course).

2. Why is the company having to come to market for £3.5m today if they are producing my est £18m/yr.

... Oil price crash since xmas and cautious approach adopted quite rightly as a result. Ortoire exploration program is of primary importance this year as has been a long time planning... the funding nails that on now regardless of oil volatility with a decent buffer. Oil only really broke out last week but placing will have already been in the pipe of course and makes sense regardless imo... they reinvest revenues heavily in the development well program so should not impact that going forward which was the concern with the impact of the oil drop.

3. What is the company debt?

... around 12m... term loan to late 2020 (off the top my head) and well managed. 8% fixed. Can be extended as they are on good terms and has also been mentioned can be replaced with bank debt (which obvs wasn't an option when the co started as new co with oil on lows). Co has to keep 5m cash buffer aside I think as part of the terms.

4. Are there any outstanding warrants of note?

... not that I am aware of.

5. Any other negatives/positives worth mentioning?

... negs are the obvious Trinidad SPT tax and oil price volatility

... pos is low cost production with high netbacks, good bod, proper well run firm with a steady compounding growth strategy and now with a proper boom boom 200mbo exploration campaign thrown in for 2019. Cashed up and fully funded with oil on the up.

I have always thought their last 'premium' placing was similar to ours... around the same time too. So the mention of being 'approached by families' today did make me smile.

aye, happy with that laxey ... was telegraphed really given the sp action over recent weeks and the oil price action but I suspected it wouldn't be at much discount. The chart has mirrored oil in all but the breakout by oil in the last week which was the final clue for me... not to mention PB clearly didn't rule it out in the recent conf call.

I took a good chunk at 12.13 recently so 12p no complaints... no fwd selling into twitter broker gimp ramped spikes etc..

Cashed up now for Corosan and oil on a charge... I expect development program to be back on track in short order too.

Big year ahead. GLA

Thanks for clarifying Vista... LSE had it around 22 as did HL at 21 so no surprise if it's wrong. Morningstar have it at 726 as do ii ... FT and Charles Stanley have it at 12ish... so quality consistent info all round then.

I don't care when he gets it out so long as its decent ... he has been plenty giddy and upbeat about it so we'll see.

been really good support around 2.65 ... bit consolidation and cooling off a bit hopefully ready for another leg up.

not really, it's still almost 20% up from the start of last week. Can't go in a straight line.

why does it look like that ? ... because you plucked it out of thin air and is an entry you would like, doesn't work like that.

Support at 2.6 first.

I think DGOC is a relatively sensible share but I don't see why it's comparable to RRE ... its on a PE of 21+ vs RRE at around 1 ... so RRE can 10 bag to get even half way there.

"my Nan having done 15mins of Research would be chomping at the bit to bet her care home savings on this"

fo;;ow the money eh ;)

to 31st March ... of course...

https://twitter.com/Alexios1201/status/1096900760334487552

Thx to Alex.

Not that it was extended as a result of efforts from Alex.

Paul Baay CEO / March 28 2018 (approx 1500bopd / SP 11.75 / Brent at $69)

“What we do on the budgeting front is that we are still really looking at Brent oil at $55 which is roughly $15 below there it is today… and that’s what we are really looking at to make sure we can really move around on that.. we also hedged about 500bopd at $50 so we put a floor in and that really protects our capital program (note: the hedge has now finished as at end of 2018) so that’s the conservative part of it and that’s the way we run the business… we are not going to run the business on hope, we run it on the fundamentals.”

“We’re looking at some really solid numbers that are north of $60 and taking that back to Touchstone, north of $60 we basically can fund a continual drilling program … we’re really excited with where we’re at on the cost structure and everything else”

“If you want crystal ball gazing… call it $65/$70 for the next year and Touchstone continuing to add production at double digit growth year over year for sure”

Mar 2018 Presentation / Conference call here…

http://www.valuethemarkets.com/index.php/2018/03/28/presentation-q-paul-baay-describes-2017-transformational-touchstone-exploration-companys-5000bopd-target-txp/

Paul Baay CEO / Jan 16 2019 (approx 2000bopd / SP 12.25 / Brent at $60)

“All the indications are right now that supply / demand is tightening very nicely for us around the world and I think over the next couple of months we’ll see a true oil price that really reflects supply demand and takes some of the noise out of the market and realistically for us that’s somewhere between $60 and $70 (Brent) and that makes a very very, very very positive price and cash flow for us.”

Brent has moved from $60 to currently over $66 since then.

Jan 2019 Presentation / Conference call here…

http://www.valuethemarkets.com/index.php/2019/01/16/video-touchstones-paul-baay-discusses-ortoire-blocks-game-changing-potential-exclusive-valuethemarkets-presentation-txp/?utm_campaign=shareaholic&utm_medium=twitter&utm_source=socialnetwork

I'm sure we'll start to get more details the closer we get .. as far as II know at the moment, 1st well is scheduled for Q2, one in Q3 and one in Q4. I think they will go for the gas at Corosan first (least expensive and keen for Gas). I'm curious to see whether they go solo or JV ... happy either way.

Main thing is that oil is up and looking like steadying with OPEC cut backs and also US drills on the decline (as Paul Baay mentioned he expected)... not to mention trade deal optimism and China pumping fresh money into the economy.

I think the dip here, apart from the obvious Oil flash crash, has a lot to do with concern that oil in low 50s and into 40s would've meant that Touchstone may have been looking at 2019 as being more an exploration year as opposed to exploration alongside the business as usual development and production growth ... looks safe to say as it ever can be that is not now the case. Market will catch up.

Lol... could get interesting here ahead of Ortoire schedule.

Monumental game changing fully funded oil and gas drill campaign for free anyone ?

Bullish reversal from 8% down today and big buys keep appearing ... highest volume since Dec 19th a 2.10.

I think the markets like China pumping out a ton of money to prop the global economy up.

Deal done ?... you mean can kicked ?

Brent got a leg over 65.5 now... be lovely to get one over 70.

wow.... some folks sold on that ? Just regulatory details on related party.

as is the £31k worth at 6.60 from earlier.... sellers feeding these big buys nicely.

....