Member Info for Scott22

XM posted photo nice piece of machinery (impressive) d signed and built for cascadura web site. They are clearly progressing on the cascadura facility side. So that is something. Seems like little is happening but they still are making progress. Right now no drilling. Hopefully they will get the star valley rig going at Coora soon - because that means two legacy commitment wells and then right off to Royston pad right afterwards to drill Royston deep and Kraken. Activity is going to pick up.

Meanwhile a deep Herrera test at Coora has been part of the plan. Don’t know if they will drill that while star valley rig is at Coora site but that would make sense. Will they just extend one of the commitment wells - or drill a third well? Or will they come back later?

I added a little today too. I will keep buying as long as shares under US $2.00. As long as story (as I interpret it) is intact. But I have also now set a cap for holdings in terms of number of shares. It is a very round number that I am 13,000 shares below. Will add that slowly, maybe 1k a week.

Yeah but hard to fathom what market is reacting to.
Maybe reaching 10,000 bopd from multiple wells only after a couple of years is below market expectation for Royston, best discovery of PB 35 year career.

Agree with you but your market cap estimate may be low. A 1 TCF natural gas field producing 200 mmcf/day and cash flowing 10,000,000 a month (at $35 netback) may be by itself worth a billion in mcap.

I do wish Paul would tell us why first gas (just turning a spigot) is not going to happen until mid- May.

At $20 netback a day, 10,000 bopd would be $200,000 per day or $6,000,000 a month. Throw in $10,000,000 a month from sale of 200 mmcf of Royston gas by end of 2023. And $1, 000,000 from legacy lands. And $500,000 a month from Coho (1,000,000 a month if they get around to drilling one development well) . Let’s see what is left - Chinook updip wells, steelhead, guabine, bass. New bid round.

And don’t forget our lottery ticket wildcard cretaceous prospect that could be drilled by mid-year THIS year - the mighty Kraken.

It starts to add up to a big number in terms of profits. Those numbers are all net back, not revenue.

mppotus: Story is already up on XM FB page and will likely be on Touchstone FB page and twitter too during today. They are good about disseminated local news coverage on social media.

Thanks for link, very nice interview. March 14 is shaping up to be a key date. Royston will ramp to 10,000 to 12,000 bopd and sit there for a long time. That doesn't sound huge but last quarter TXP produced 1,300 bopd. So just Royston increases company oils production by 8 to 9 times.

And that is in addition to a path to 200 mmcf of gas by end of 2023 which massively increase boe/d by favor of 10 or more. At some point the value will be recognized, you would think.

But Kraken will come before most of the Royston development wells. And also guabine and steelhead and bass.

This is the most direct Paul has been about the bid round as well, with plans to add some specific acres.

Moric: They are going to drill Royston Deep and Kraken off that same well pad. Can they keep producing from Royston 1 and trucking the oil while they are drilling? Before I think Paul said they would keep trucking until they are ready to drill Royston Deep. The idea about building a pipeline extension to the oil pipeline is also new. Wouldn't they need EIA and field development plan to start building a pipeline. They would need facilities on site including separation tanks, pumps, water disposal well. All that seems quite a ways off, even though the oil pipeline is very close by, just to northwest. Do they have tanks on site - I assumed they were just producing right to tanker trucks and shipping the oil/water mix to a processing site (their own) where they can separate and then dispose of the water.

Thanks Moric for reaching out to Paul

Moric: for reaching out to Paul. March 14 cannot come soon enough. Should all be very interesting. I hope Shell will turn the Coho pipeline on before that, just for psychological reasons.

MJ: I am old but I started investing in Petrobank when I was a lot younger. Like I know all about Petrobank, Baytex, Tristar, Petrobakken, Archon Technologies, THAI, Petrominerales, Lightstream Resources, Ridgeback Resources, John Wright and the final chapter in 2013 using the Petrobank shell (with 20-30 million left) to purchase Touchstone, merge with it, rename the shell as Touchstone Exploration. At that point I was too exhausted to sell the few thousand TXP shares that I got from owning Petrobank shell in 2013. They quickly lost most of their value. I just sat and did nothing but follow along. But the bid on the Ortoire block in 2014, the company studying that block for 5 years, , the increasing involvement of XM (wonderful geologist and teacher) , Paul Bay communication and leadership style - and then the first Ortoire exploration program and the Coho and the amazing Cascadura discoveries - and I jumped in and have been buying fairly heavily (for me) since September 2020. I can honestly say that if I had not listened to XM's talk about turbidite sands years ago (at a conference in Houston while he was still at Petrotrin but consulting for TXP)) I might not have stuck around. I have a lot of conviction here. That does not guarantee success but it is better than having no conviction. And MJ, I hope this plays out very favorably long before you are my age. At which point I will be lucky just to be any age at all.

OTC in USA, TXP trades as PBEGF. Some people might wonder where the heck that that symbol comes from. It is the same symbol as the petrobank (PB) shares from which it came. (the P and the B are not for Paul Bay, which someone I know guessed).

Thanks. I don't understand details of reserve reporting. I was wondering last year why Cascadura Deep was not included in the reserves report last year so I was a little unclear about what "year end reserves" meant, whether the data had to be obtained before the year end date. And I was thinking maybe the year end 2021 independent engineering report was based on that . Otherwise would it be year end reserves? Or would it be mid year reserves. There has to be some kind of cut off for the data.

JOEY1998: I forgot they were the year end reserves! So they will for sure include Cascadura Deep which is a nice chunk to add. But they might not include Royston 1 as the extended flow tests and pressure build up testing would all be after January 1, 2022.

I do think Paul promised us independent engineering results from that extended testing of Royston 1 on March 14.
But maybe that won't get into the year end reserves totals.

Anyway I hope that 1998 is not your birth year. I have shoes older than that.

There is helium in atmosphere, about 5 parts per million or 0.0005%.
And it is absolutely necessary for certain technology applications.

It could be distilled from the atmosphere but the costs would be quite high. So the current price of $450 per mcf, while astonishing, is still lower than trying to suck it out of the air.

It is estimated that distilling helium from the atmosphere would cost over $1,890 per Mcf of helium

My only worry is that Paul has made it very clear to the independent engineering firm that there cannot be any delay to this report. He said March 14. It cannot be sometime in March and there really cannot be a delay. They have to start meeting self all imposed deadlines and this would be a good time to start.

Love you void but you are wrong about this. Saskatchewan is very friendly jurisdiction. The pay for some drilling costs and some facility costs as well. (Tanzania could look at their model). They have low royalty structure. Sales are NOT limited to Canada. Saskatchewan has same stated goal as Helium One - to supply 10% of world helium demand. (RHC aims to be big part of that). They will largely sell into NA because of dropping production in US plus increasing demand plus desire to improve NA sourcing of all important commodities.

Geology also interesting. Not like Tanzania, but they too are drilling primary helium wells.

Botham: Take a look at Royal Helium when gives access to Saskatchewan helium play which which very different but also is pure helium drilling not associated with hydrocarbons. Trades as RHC.V in Canada and RHCCF OTC in US.

Total production of company last quarter was 1300 bopd from legacy lands. We have added three legacy wells totally maybe 400 bopd. Adding 500 bopd from an exploratory drill testing three zones, configured for gas? With the extended test only from top zone? That would be awesome especially since it would confirm the commerciality of a HUGE oilfield and create significant reserves while still requiring delineation of the deepest zone tested and also the sub thrust, not entered test but soon to tested in Royston Deep well.

And don’t forget little insignificant Coho will about double company production in terms of BOE/day and Cascadura will boost that by several multiples. And all of this will bring cash flow. Which will increase very significantly in 2022 with another huge boost in 2023.

Bought more today but not easy. This grinding down of shares can be an opportunity. Or not, if things go south.

I keep going over the story and no way can I see that the current market cap is not fully covered (likely several times) by Cascadura alone, which is a TCF sized gas discovery with liquids to boot. Coho is of small value but hardly zero, and can be doubled by one development well. And 2000 bopd from legacy lands is worth something at $90 oil price.

Royston is worth something (a huge oil discovery) even based on one complicated well that is being produced on extended test. Royston Deep should add value, as will Royston development program which will likely follow the Cascadura development program. Kraken is a lottery ticket; don't count on it but nice card to hold. Other pieces include Guabine, Steelhead, Bass prospects and Chinook up dip well. (timing on that is just waiting for the liquids pipeline to south that will come with the cascadura project development).

NO way can a $250 million market cap be correct.

Yes we have been saying that for two years and yes it seems to be so slow. But actually maybe things are moving pretty fast.

Paul is a very good leader who has built a good culture in this company. And XM is a serious geologist who knows more about Trinidad rocks than anyone and also is a wonderful teacher who gives a lot to his students and to Trinidad in general. I am happy to be invested here since the beginning. The shares I got from the Petrobank shell posted to my account on 1/11/2013. The business plan was ramping up production on the legacy lands. There is so much more to story now. TXP got the lease on the Ortoire block in 2014 and spent 5 years studying it before embarking on the first 5 well exploration program. Results have been spectacular. And more to come. I guess if they can spend five years studying the block, they can spend a couple years bringing on first new gas find on-shore Trinidad in more than 40 years. Especially as oil production from Royston will be ramping at same time. And new discoveries from Royston Deep and maybe even Kraken will be adding reserves and production steadily over next several years. Seems like we are standing still (especially Coho experience) but things are actually moving very fast.