Touchstone Exploration Inc.
TSX : TXP

Touchstone Exploration Inc.

August 04, 2015 07:00 ET

Touchstone Announces Disposition of Undeveloped Saskatchewan Acreage

CALGARY, ALBERTA--(Marketwired - Aug. 4, 2015) - Touchstone Exploration Inc. ("Touchstone" or the "Company") (TSX:TXP) announces that it has disposed of its working interest in 1,166 net hectares of undeveloped acreage in the Dodsland area of Saskatchewan for cash consideration of $4.2 million to a Canadian oil and gas producer.

The properties are not currently producing and were assigned net proved reserves of 424,000 barrels of oil equivalent based on future development costs of $14.9 million and net proved plus probable reserves of 930,000 barrels of oil equivalent based on future development costs of $26.0 million on December 31, 2014. The sale represents approximately 6% of the Company's total acreage in Canada, all of which is located in Saskatchewan. Following the disposition, Touchstone has interest in 20,354 hectares of developed and undeveloped land in Saskatchewan, including 1,940 hectares offsetting the disposed Dodsland acreage.

Paul Baay, Chief Executive Officer, said, "This disposition allows us to monetize a small portion of our undeveloped acreage and apply the funds to our higher return projects in Trinidad. We continue to bolster our balance sheet to take advantage of opportunities that may arise from the current commodity price environment."

Touchstone Exploration Inc. is a Calgary-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 and western Canada. The Company's common shares are traded on the Toronto Stock Exchange under the symbol "TXP".

Forward-Looking Statements: Certain information provided in this press release may constitute forward-looking statements. Forward-looking statements are necessarily based on a number of assumptions and judgments, including but not limited to, assumptions relating to the outlook for commodity and capital markets, the success of future resource evaluation and development activities, the performance of producing wells and reservoirs, well development and operating performance, general economic conditions, weather, and the regulatory and legal environment. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results achieved during the forecast period will vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. You can find a discussion of those risks and uncertainties in the Company's Canadian securities filings. Such factors include, but are not limited to: general economic, market and business conditions; weather conditions and access to properties; fluctuations in oil prices; the results of exploration and development drilling, recompletions and related activities; timing and rig availability; outcome of exploration contract negotiations; fluctuation in foreign currency exchange rates; the uncertainty of reserve estimates; changes in environmental and other regulations; uncertainties associated with the regulatory review and approval process in respect to projects; risks associated with the application of early stage technology; risks associated with oil and gas operations and other factors, many of which are beyond the control of Touchstone. There is no representation by Touchstone that actual results achieved during the forecast period will be the same in whole or in part as those forecasted. Except as may be required by applicable securities laws, Touchstone assumes no obligation to publicly update or revise any forward-looking statements made herein or otherwise, whether as a result of new information, future events or otherwise.

Contact Information

  • Touchstone Exploration Inc.
    Mr. Paul Baay
    President and Chief Executive Officer
    (403) 750-4400

    Touchstone Exploration Inc.
    Mr. James Shipka
    Chief Operating Officer
    (403) 750-4400