Touchstone Exploration Inc (PBEGF)

[pro_s2009]

A snippet from Shore Cap.

Shore Cap maintain that TXP are fully funded to Cascadura coming on line and dont need any extra money.

I dont agree with his 25,000 boepd year end 2023. I forecast 30,000 to 50,000 boepd year end 2023.

If Krakken-1 is duster in the Cretaceous next year I expect share price around 500p Dec 2022. If Krakken-1 strikes oil in the Cretaceous then I expect 1000p a share Dec 2022. The game is well and truly on now.

Krakken-1 is now a 2 in 1 well, so it can be designed as an oil production well into the Intermediate sheet to appraise this oil discovery, and also designed as a poke into the Cretaceous below. So the development well cost for Royston oil is paid for by the planned exploration costs of Krakken-1. Lovely.

And a valid point, the Royston area is vast, and currently they have only poked the top of the Intermediate sheet. There might be 100 million OIP, or 200 million OIP or indeed 500+ million barrels OIP. We will not know until the appraisal happens and the Krakken-1 well goes all the way through the Intermediate sheet on its way down to the Cretaceous.



https://www.sharesmagazine.co.uk/news/shares/the-discovery-which-has-sent-touchstone-exploration-17-higher

.......‘MATERIAL UPSIDE SURPRISE’

Shore Capital analyst Craig Howie commented: ‘The discovery reported today has been made in a separate and previously unidentified new pool and therefore, in our opinion, provides a material upside surprise beyond the previously-announced discovery of liquids-rich natural gas in Royston.’

Howie added: ‘Ahead of the full set of Royston test results, we continue to believe that an FY22 exit production rate of 15,000 boepd (barrels of oil equivalent per day) is readily achievable and happily maintain our 7,000 boepd average daily production forecast for next year.

‘We continue to believe that 25,000 boepd appears perfectly achievable by the end of FY23. We also remain confident that Touchstone’s liquidity is ample and sufficient to see the company all the way through to commercial production from Cascadura – which we fully expect to provide substantial liquids-rich gas production and operating cash flow.’...........