Member Info for ab76

I would never flog an animal; it’s inhumane.

As for Touchstone, I remain optimistic as otherwise I’d sell my shares. There are real risks (further dilution can’t be ruled out this year and the prospect is likely holding the share price down), but they’ve got some decent assets and plenty of potential.

The logic is that I transferred £40,000 worth of shares from my trading account to my SIPP, following on from a £20,000 switch from my trading account to ISA yesterday.

Although this letter in the Trinidad Express doesn’t mention touchstone, the recovery that’s taking place in Trinidad’s energy sector is hopefully something that will: https://trinidadexpress.com/opinion/letters/quiet-energy-turnaround-afoot/article_c309e578-0157-443f-966d-6f9b6342fd80.html

According to this article https://guardian.co.tt/business/gas-output-set-to-double-as-casadura-project-advancesmoonilal-6.2.2570301.7ea8b626a5, there are “some pieces measuring more than 50 feet in length and 15 feet in height”.

Here’s the video version: https://m.youtube.com/watch?v=P8B-Qe4SzCw&ra=m

A multi-million-dollar compressor is being installed by Touchstone Exploration Limited, a move expected to double natural gas production at the Cascadura Facility Project.

Minister of Energy and Energy Industries, Dr. Roodal Moonilal, was at the Port of Point Lisas to witness the arrival of the equipment on Friday.

Minister Moonilal outlined the importance of the equipment, describing it as a key expansion initiative for the country’s energy sector.

“What it does, it stabilises pressure in the pipeline so that over a period of time we actually produce more gas. So this is really a gas expansion initiative, moving from what I’m told to be 10 million standard cubic feet to almost 20 million so it’s almost a 100% increase in gas expansion from Touchstone alone.”

Touchstone’s Executive Vice-President of Engineering and Business Development, Brian Hollingshead, confirmed that the compressor, which was split into six container-sized sections, represents a multi-million-dollar investment, covering its purchase and transportation to Trinidad and Tobago.

“We’ve shipped in a 3750 horsepower compressor for our Cascadura site. What it’s going to do once installed is it will lower the facility pressure and boost more natural gas from our plant into the domestic market at Trinidad.”

…

Once installed, the compressor is expected to come on stream from June 26th.

https://www.ttt.live/multi-million-dollar-compressor-set-to-boost-gas-output-at-cascadura/

Https://energynow.tt/blog/touchstone-adds-momentum-to-tampts-onshore-oil-and-gas-story

It’s a promising start from CR3 and hopefully there’s more to come so that Touchstone can better contribute to Trinidad’s increasing energy output (see https://trinidadexpress.com/business/local/condensate-crude-oil-and-natural-gas-production-show-gains-in-2025/article_5be73dc1-4062-4a1c-86cf-192d1a159254.html).

My revised price target for my 2,469,887 Touchstone shares is between 50 and 75p per share (down from 75p to £1).

I’ll reconsider it on Monday (when we receive the flow rates for CR3) or Tuesday (when we receive the accounts).

I’d like to see an excellent CR3 result on Monday, but will be satisfied with a result that lifts the financial uncertainty disclosed during the last quarter.

The indication that confirmation of the next Central Block will be given next week is an encouraging sign as it indicates that Touchstone expects to have the cash to drill it, which in turn indicates that the financial uncertainty is ending.

Still, there’s not much point in speculating as we’ll have the CR3 results before the market opens on Monday and we’re either in or out.

Good luck to everyone invested and let’s hope that the past two years or so of disappointment will soon be well behind us.

Https://www.guardian.co.tt/business/pm-strong-signs-of-energy-growth-in-tt-6.2.2543098.d816823d4b

…one of Touchstone’s non-executive directors has been appointed interim chief of the Energy Chamber: https://www.guardian.co.tt/business/marajh-named-as-interim-ceo-of-energy-chamber-6.2.2543097.9f2b423948

From Discord: a short video on the latest oil well https://www.facebook.com/reel/1581694649782509

It appears that FR1835 has been drilled to 4,600 feet. Hopefully, it will soon be in production. It’s one of three wells that are being drilled for Touchstone in return for it giving up 37bopd at Fyzabad. Touchstone’s paying for the fourth well and for some of the equipment for the first three.

Take a look at gas prices: https://tradingeconomics.com/commodity/uk-natural-gas

The list of energy majors interested in Trinidad continues to grow. Now Chevron is interested: https://guardian.co.tt/business/kamla-tt-us-talking-vene-energy-cooperation-6.2.2538272.a8171c45a6

Via Discord, an update from Touchstone: Evergreen “is scheduled to come back online later today. They will run it for a few days before bringing CR-3 onto the system.”

2 to 5mmcf wouldn’t be a bad result Hardolestation, but if the aim to increase production by the end of 2026 to more than 50mmcf is to be met from drilling four wells we really need 7 to 10mmcf and we need that sort of production increase, probably along with some other positive developments, if we want to see the share price recover to the 60/70ps.

Prospects of a successful CR3 result: 75% (over 1,082 feet of net sand in three zones on a field that’s been producing reliably for 20 years, which produced excellent flow rates when previously tested, which is being tied in at considerable expense and which has led to permission being obtained for another two wells).

Prospects of rossannan shutting up if there’s a successful result: 0% (he’ll point out that one day all the gas will be depleted or that nuclear fusion will soon replace fossil fuels). The best thing to do is ignore him, which I expect the people who followed his tips to buy JSE and PTAL wish they’d done rather than lose two thirds of their investment (the best tip, is never to take tips from bulletin boards - only invest in companies you like and think can increase their share price).

There’s not long to go now until we’re due to receive news on Central Block (it’s been indicated that there might be something to report on the 18th with the quarterly update and if the rumours reported on Discord are correct the shut down/tie in started a couple of days earlier than had been indicated).

Until the gas is flowing at a stabilised rate we won’t know what we’ve got, but the aim is: “Since acquiring the asset, Touchstone has assessed the remaining gas resources and outlined plans for a four-well development drilling programme. Production from Carapal Ridge-3, the first well in the campaign, is forecast to begin in February 2026. If all four wells are successful, output from the Central Block is projected to exceed 50 mmscf/d.” - see https://www.guardian.co.tt/business/gas-drilling-resumes-in-central-block-after-nearly-two-decades-6.2.2461585.ae7c5e0ff9

It’s not showing yet on this website, but there’s been an RNS this morning announcing that Edale Capital LLP have increased their investment in Touchstone to 5.25% (from 4.05%). See https://www.londonstockexchange.com/news-article/TXP/notification-of-major-holdings/17499246

The last time Touchstone gave an update on it, they were selling oil at a 14% discount to Brent (see page 21 of https://www.touchstoneexploration.com/content/uploads/2025/12/Corporate-Presentation-Nov-2025.pdf).

However, it’s more complicated than that. First, they sell all their oil to Heritage, which blends it and sells it on the market. That means it doesn’t matter what grade oil is produced, they still get the same price. Second, the price of the blended product varies, but about a 14% discount to Brent is common (I don’t remember it ever being less than 10%). Third, Touchstone is paid in US dollars and within 30 days. Getting VAT refunds is a nightmare, but getting paid for oil isn’t. Fourth, Touchstone has no transportation costs (a saving that pretty much makes up for the discount to Brent). Heritage takes the oil from the well head.

There’s room for further reform, but Trinidad isn’t a bad place to do business.