Touchstone Exploration Share Discussion Threads

[phowdo] 08/5/2018 10:12

Interesting to overlay TRIN and TXP charts.
They've been quite correlated since Txp listed on AIM (much more than comparison to CERP chart)
TRIN is racing away now though. Are we due a rally to catch up like last October?

[captainfatcat] 08/5/2018 09:09

Had a little top up, 2000 bopd soon fingers crossed

[phowdo] 07/5/2018 22:25

Canada is stupidly illiquid - A sell order of 50k shares did that.

[mount teide] 07/5/2018 16:55

Brent pushes through $76

[mr. t] 04/5/2018 21:42

WTI almost at $70, highest price since Nov 2014. All good for TXP.

[mount teide] 04/5/2018 21:37

News from OilPrice.com:

Brent back up to $75 today despite an increase in the US rig count as the market continues to grow apprehensive ahead of next weeks US sanctions waiver decision on Iran.

IMF warns that Saudi Arabia needs $88 oil to balance its books, compared to last year’s $82, as a result of large increases in public sector spending.

Venezuela is likely to lose another 200,000 bpd by the end of the year according to Venezuelan Oil Ministry sources - which would mean output will have halved over the course of two years.

[flyinghorse1] 04/5/2018 17:31

phowdo,Yes -my bad re Put, but its at a price as you say. We need evidence of sustained production growth , but will have to be patient & hopeful.

[phowdo] 04/5/2018 15:12

The hedging is via puts.
Protects downside (for a fee of course) but does not limit upside.

"On January 23, 2018, the Company purchased US$55.00 Brent ICE crude oil put options effective March 1, 2018 through December 31, 2018. The Company protected 500 barrels of day of production during this period, representing approximately 33% of current field estimated production. Touchstone will continue to monitor the forward commodity price curve and opportunistically hedge future production volumes to mitigate possible commodity price volatility and protect the funding of the approved drilling program."

[flyinghorse1] 04/5/2018 14:55

They have 500bbls/day hedged at $55brent ICE for 2018 and will be in SPT territory for part of 2018.
Its fine if the 2018 production will cover all the liabilities.
We just dont know yet.

[crooky1967] 04/5/2018 14:34

My expectation is that they are now getting around USD $27 - $30 net back per barrel. With 5 new wells drilled they should be at 2000 bopd anytime soon. With 5 more wells being drilled by august and possibly more by the end of the year then 2500 - 3000 could be achievable. At current prices they could wipe the debt out within a couple of years.

If current oil prices hold up I would like to see debt being eroded quicker while still drilling new wells

[grannyboy] 04/5/2018 14:26

You have not mentioned the rise in the oil price!!!

[flyinghorse1] 04/5/2018 14:01

We dont know that TXP are near 2000bopd, we hope they are.
They said on March 14 2018 that they were 1521bopd in Jan,1552bopd in Feb and 1705bopd for 1st week in March.
The slide pack presentation 26th March said they were at 1654bopd till 25th march (For March). What concerned me was the slide 5 and 12. 5 shows a growing contribution from new wells initial completion. But the detail on slide 12 show that the have allready had to recomplete the wells PS598 and 599 so it looks like the COORA wells are carrying the new well averages.

They are also paying 8% pa interest on the term loan as of Jan 2017 plus a production royalty of 1% to lenders so whilst the principal repayments are off a bit yet , this investment needs to deliver in production.

[zengas] 03/5/2018 14:07

We've scores of low cost, reserve based drilling locations (without exploration).

We are not far of a sustained 2k bopd. I'd expect the company to get to 4k/day with a bit of patience as momentum builds.

[phowdo] 03/5/2018 14:06

Companies are not efficiently priced at this end of the market. Simple as that.