Touchstone Exploration Inc · TSX:TXP
Touchstone Exploration — Investor Presentation (September 2022)
24 slides from Touchstone Exploration's investor presentation, September 2022
Slide 1: Corporate Presentation September 2022
Corporate Presentation September 2022 Driving production growth, profitability and responsibility in the Trinidad energy industry TSX : TXP | AIM : TXP
Slide 2: Why Touchstone
Why Touchstone Strong Assets and Management ➢ Experienced and dedicated board and management team ➢ Properties located in one of the richest hydrocarbon environments in the world ➢ Transitioning to a significant natural gas producer ➢ Large inventory of development and exploration opportunities Sust
Slide 3: Touchstone at a Glance
Touchstone at a Glance September 1, 2022 Capital Structure Common shares outstanding 213,021,161 TSX share price (£)(1) 0.865 Market capitalization (£)(2) 184,263,304 Six Months Ended June 30, 2022 Results Average daily oil production (bbls/d) 1,408 TSX : TXP Petroleum sales ($000's) 23,092 Funds fl
Slide 4: Historical Market Capital
Historical Market Capital (4) £300,000,000 £270,000,000 £240,000,000 £210,000,000 £180,000,000 £150,000,000 £120,000,000 £90,000,000 £60,000,000 £30,000,000 £- Q2 Q3 Q2 Q3 Q4 Q4 Q1 Q1 Q2Q2 Q3Q3 Q4Q4 Q1Q1 Q2Q2 Q3Q3 Q4Q4 Q1Q1 Q2Q2 Q3Q3 Q4Q4 Q1Q1 Q2Q2 Q3Q3 Q4Q4 Q1Q1 Q2Q2 2017 2017 2017 2018 2018 2018 2
Slide 5: Reserves Growth
Reserves Growth (8) Reserves Growth (Mboe) BTAX NPV10 Growth $1.31 Billion 121,332 Mboe $882 Million 75,547 Mboe $474 Million 38,731 Mboe Corporate Presentation | September 2022 5
Slide 6: Trinidad Oil and Gas Infrastructure
Trinidad Oil and Gas Infrastructure Trinidad and Tobago Natural Gas Production/Consumption (9) 4,500 Daily Natural Gas Production/Consumption Bcf/d 4,000 Point Lisas 3,500 Industrial Complex 3,000 2,500 2,000 1,500 1,000 BALATA CENTRAL 500 Pointe-e-Pierre 0 Heritage Sales Cascadura 2000 2001 2002 20
Slide 7: Cascadura Development
Cascadura Development Cascadura Best estimate TPIIP (Bcf)(7) 460.9 2P Reserves (Mboe)(7) 52,082 CAS C 2P Btax NPV10 ($MM)(7) 520.6 Wells drilled CAS-1ST1 & CAS Deep Estimated initial production (net)(12) 9,200 boe/d Production optimization potential (net)(12) 3,067 boe/d CAS B Cascadura Facility Ini
Slide 8: Royston Development
Royston Development (14) Royston Overthrust , Intermediate Best estimate TPIIP (MMbbls)(7) 165.7 and Subthrust structures 2P Reserves (Mbbls)(7) 3,520 2P Btax NPV10 ($MM)(7) 59 Wells drilled Royston-1 Total depth 10,700 ft. Feet of pay(12) 393 ft. Overthrust and Intermediate Formation Herrera GR7abc
Slide 9: Ortoire Subsurface Overview
Ortoire Subsurface Overview NGC GAS PIPELINE ➢ Continuation of prolific Penal- Balata East Barrackpore Herrera RIO CLARO OFFICE 10 MMbbls Penal / Barrackpore Cascadura ➢ Numerous anticlinal trends Cedar Grove identified Fault Chinook Royston Coho ➢ Defined structural features: Baraka Baraka East ove
Slide 10: Trinidad: Hydrocarbon Rich Environment
Trinidad Hydrocarbon Rich Environment Largest producer of oil and gas in the Caribbean Energy-intensive industries Ammonia, methanol, fertilizer, and aluminum Guyana Oil Discoveries EASTERN VENEZUELA BASIN GUYANA SURINAME Surname Oil Discoveries BASIN Access to world class facilities Has one of the
Slide 11: Kraken – Cretaceous Prospect
Kraken – Cretaceous Prospect (13)(14) The key element to success in the Cretaceous play is for minimal post charge/maturation deformation After being charged approximately 5 million years ago the Kraken structure has not moved NGC GAS PIPELINE Gas Discovery Oil Discovery RIO CLARO OFFICE Balata East
Slide 12: Trinidad 2022 Onshore Bid Round
Trinidad 2022 Onshore Bid Round Legend TXP Exploration blocks 2022 Onshore Bid Round Blocks Licensed Blocks Open Blocks Herrera Sand Fairway Ortoire Corporate Presentation | September 2022 12
Slide 13: 2022 and Beyond
2022 and Beyond Significant growth opportunity for Touchstone and the Trinidad oil and gas industry Near term ➢ First gas from the Ortoire block with the commissioning of the Coho facility ➢ Begin construction of the Cascadura surface facility, access roads and future development drilling locations
Slide 14: 2022 and Beyond
2022 and Beyond Mid term ➢ Complete the Cascadura production facility which is initially designed for 90 MMcf/d, expandable up to 200 MMcf/d ➢ Bring both Cascadura wells online, initial estimated net production to be approximately 9,200 boe/d(12) ➢ Design and drill development well locations at Casc
Slide 15: Why Invest
Why Invest ➢ Significant near-term production uplift ➢ Cumulative increase in net production from Coho, Cascadura-1ST1 and Cascadura Deep-1 of approximately 10,500 boe/d once on production(12) ➢ Multiple exploration opportunities on the gas-rich Ortoire block ➢ Provides a strong 10 year drilling pro
Slide 16: Driving production growth, profitability and responsibility in the Trinidad energy industry
Driving production growth, profitability and responsibility in the Trinidad energy industry TSX : TXP | AIM : TXP 16
Slide 17: Corporate Information and Abbreviations
Corporate Information Abbreviations Head Office Year End: December 31 bbl(s) barrel(s) Suite 4100, 350 7th Ave SW bbls/d barrels per day Calgary, AB T2P 3N9 Engineers: GLJ Ltd. Mbbls thousand barrels Office: (403) 750-4400 Auditors: KPMG LLP MMbbls million barrels Website: www.touchstoneexploration.
Slide 18: End Notes
End Notes 1) Touchstone's September 1, 2022 closing common share price on AIM. 2) Calculated as the product of the Company's September 1, 20222 closing common share price on AIM (£0.865/share) and 213,021,161 common shares outstanding. 3) Non-GAAP financial or other measure. Refer to "Advisories: No
Slide 19: End Notes
End Notes 6) Net Debt Six months ended ($000’s) June 30, 2022 Current assets (20,717) Current liabilities 20,371 Working capital surplus (346) Principal non-current balance of term loan 24,000 Net debt 23,654 7) Based on December 31, 2021 GLJ Ltd. independent reserves evaluations. Gross reserves are
Slide 20: Advisories
Advisories Currency Unless otherwise stated, all financial amounts herein are presented in United States dollars. The Company may also reference Canadian dollars ("C$"), Trinidad and Tobago dollars ("TT$") and Pounds Sterling ("£") herein. Forward-looking Statements Certain information regarding Tou
Slide 21: Advisories
Advisories Forward-looking Statements (Continued) Investors should not place undue reliance on any such forward-looking statements or information. Further, any forward-looking statement or information speaks only as of the date on which such statement is made, and Touchstone undertakes no obligation
Slide 22: Advisories: Oil and Gas Reserves
Advisories Oil and Gas Reserves The reserves information for the Company’s December 31, 2021 independent reserve report have been prepared by Touchstone’s independent reserves evaluator, GLJ Ltd. ("GLJ"), dated March 4, 2022. The report was prepared in accordance with definitions, standards and proc
Slide 23: Advisories: Oil and Gas Drilling and Test Results
Advisories Oil and Gas Drilling and Test Results References in this presentation to net feet of pay is based on the Company's interpretation of wireline logs, which is not necessarily indicative of the quantity and quality of prospective hydrocarbon accumulations. References in this presentation to
Slide 24: Advisories: Non-GAAP Financial Measures
Advisories Non-GAAP Financial Measures (Continued) The Company uses operating netback as a key performance indicator of field results. The Company considers operating netback to be a key measure as it demonstrates Touchstone's profitability relative to current commodity prices and assists Management
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