CASCADURA-4ST2 X WELL DRILLING RESULTS AND OPERATIONS UPDATE
CALGARY, ALBERTA (September 29, 2025) - Touchstone Exploration Inc. ("Touchstone" or the "Company")
(TSX, LSE: TXP) provides an operational update on its Ortoire block activities, including drilling results from
the Cascadura-4 development well ("Cas-4ST2X").
Cas-4ST2X Well Results
Operations at Cascadura-4ST2 resumed on August 16, 2025, utilizing Star Valley Drilling Rig #205,
and the well reached a total depth of 5,896 feet on September 22, 2025. The well, now designated Cascadura 4ST2X,
was originally programmed to evaluate the Herrera Gr7bc sands to a depth
of approximately 6,100 feet. However, after encountering gas-charged sands in the lower portion
of the well, circulation was lost, leading the Company to conclude drilling operations earlier than planned.
During the pull-out, the drill string became stuck and, despite extensive recovery efforts, could not be freed.
The Company has elected to complete the well for production using a combination of casing and the drill
string, enabling access to the gas-charged intervals identified while drilling. Although open-hole logs could
not be acquired, offset well data and real-time drilling information confirm that the well intersected Herrera
Gr7bc sands consistent with the Company’s geological model.
The primary objective of the well was the Herrera Gr7bc sands, which are widespread across
the Cascadura structure. Cascadura-4ST2X represents the third well drilled into the “A” block of
Cascadura to encounter sands within the targeted reservoir.
Cascadura Development
Completion operations on the Cascadura-5 well will immediately commence. All tie-in equipment is on
location and the well will be tested directly through the Cascadura natural gas facility following completion.
Cas-4ST2X will undergo final completion and tie-in once equipment and a service rig are on site.
Following completion of Pad B operations, the drilling rig will move to the Central block location identified
as Carapal Ridge-3 ("CR-3"), where site construction is approximately 60 percent complete. The location
is expected to be drill-ready by the end of October.
In parallel, the Company has secured a compressor for the Cascadura facility to further enhance natural
gas processing. The project is currently expected to be completed in the second quarter of 2025.
Paul R. Baay, President and Chief Executive Officer, commented:
"With drilling complete on Pad B at Cascadura, we are moving rapidly into the completion and tie-in phase.
While Cas-4ST2X presented challenges due to re-entering a previous wellbore, the systems implemented
on the Cas-5 well have proven effective. We remain confident in our ability to drive repeatable cost and
efficiency gains at Cascadura and across our Central block program."
Production update
Production volumes averaged 5,152 boe/d in August 2025, compared with 5,300 boe/d in July and 5,088
boe/d in June. August volumes comprised 21.7 MMcf/d of net natural gas production (3,623 boe/d) and
1,529 bbls/d of net crude oil and liquids production.
Strategic Divestiture
Touchstone has entered into a sale and purchase agreement to dispose of its non-core Fyzabad oil property
to a third-party Trinidad-based company. Fyzabad averaged 37 bbls/d of net production in August 2025 and
had limited scalability within the Company's portfolio.
Transaction consideration consists of three turnkey drilling wells to be drilled across Touchstone's WD-8
and WD-4 blocks. Under the agreement, the purchaser will drill the wells while Touchstone supplies certain
ancillary drilling and completion equipment.
Two wells are currently scheduled for drilling before year-end 2025, with the third well planned for the first
quarter of 2026. Closing of the Fyzabad disposition is expected in the fourth quarter of 2025, subject to
customary regulatory approvals.
Touchstone Exploration Inc.
Touchstone Exploration Inc. is a Calgary, Alberta based company engaged in the business of acquiring
interests in petroleum and natural gas rights and the exploration, development, production and sale of
petroleum and natural gas. Touchstone is currently active in onshore properties located in the Republic of
Trinidad and Tobago. The Company's common shares are traded on the Toronto Stock Exchange and the
AIM market of the London Stock Exchange under the symbol "TXP".
For further information about Touchstone, please visit our website at www.touchstoneexploration.com or
contact:
Touchstone Exploration Inc.
Paul Baay, President and Chief Executive Officer Tel: +1 (403) 750-4405
Brian Hollingshead, EVP Engineering and BD
James Shipka, EVP Asset Development and HSE
Shore Capital (Nominated Advisor and Joint Broker)
Daniel Bush / Toby Gibbs / Tom Knibbs Tel: +44 (0) 207 408 4090
Canaccord Genuity (Joint Broker)
Adam James / Charlie Hammond Tel: +44 (0) 207 523 8000
FTI Consulting (Financial PR)
Nick Hennis / Ben Brewerton Tel: +44 (0) 203 727 1000
Email: touchstone@fticonsulting.com
Advisories
Working Interest
Touchstone holds an 80 percent operating working interest in the Cascadura field, which forms part of the
Ortoire block, onshore in the Republic of Trinidad and Tobago. The remaining 20 percent participating
interest is held by Heritage Petroleum Company Limited.
Touchstone holds a 100 percent working interest in the Fyzabad, WD-4 and WD-8 blocks.
Source: touchstoneexploration.com |
