Touchstone Exploration Inc. has announced that its Trinidadian subsidiary, Primera Oil and Gas Limited (POGL), has secured Exploration and Production (Public Petroleum Rights) Licences for the Cipero and Charuma blocks. These licences came into effect on 1 July 2024.
The Cipero and Charuma blocks were awarded to POGL during the Trinidad and Tobago 2022 Onshore and Nearshore Competitive Bid Round. Representatives from POGL, the Government of Trinidad and Tobago, the Trinidad and Tobago Ministry of Energy and Energy Industries (MEEI), and a subsidiary of the National Gas Company of Trinidad and Tobago (NGC) were involved in executing the licences.
POGL holds an 80% operating working interest in each licence, while NGC retains the remaining 20%. The initial term for these licences is six years, with the possibility of extending for an additional 19 years in areas where an MEEI-approved commercial discovery is made. The Cipero block covers 29,924 acres, whereas the Charuma block spans 72,784 acres.
As part of the minimum work commitments for each block, POGL is required to conduct five geological studies. This includes reprocessing 426 kilometres of 2D seismic data for Cipero and 784 kilometres for Charuma. Additionally, for the Charuma block, 61 square kilometres of 3D seismic data will also be reprocessed. The exploration drilling commitments entail four wells for Cipero and one well for Charuma. The financial obligations over the initial six-year term amount to US$2.2 million for Cipero and US$4.8 million for Charuma. POGL is responsible for 100% of the exploration minimum work commitments and financial obligations, including bonuses, lease payments, and surface rental costs during the initial six-year exploration term.
Touchstone’s Chief Executive Officer (CEO) Paul Baay highlighted the significance of this development, stating, “This marks a significant milestone for our company as we expand our exploration activities in Trinidad and Tobago. We are committed to fulfilling our obligations and advancing these promising projects.”
Touchstone Exploration Inc. has taken a pivotal step forward by securing licences for the Cipero and Charuma blocks, underlining their dedication to expanding exploration efforts in Trinidad and Tobago. With substantial commitments and financial obligations, the company is poised to advance these promising projects over the coming years.
Touchstone Exploration Inc (LON:TXP) is a Canadian-based, international upstream oil and gas company currently active in the Republic of Trinidad and Tobago. Primera Oil and Gas is the Trinidadian subsidiary of Touchstone.
