Touchstone Exploration Inc T.TXP

Malcy takeaway points..

[politicat]

Cascadura expansion -- 3 wells from 1 pad must be drillled / tested and brought to production together and this will be 2nd half 2024.  60 mmcf/d expected total so another $50M fcf end 2024.
Reserves -- 75M BOE in 2023 to 100M in 2024.

It feels like they are taxed twice by T and T.  $2.10 for Coho gas and $2.50 for Cascadura gas and Gov resells for much higher market rates.   Then they are taxed on the profits they do manage to make at a high rate is Brent goes much beyond where it is today.  You can tell the taxation bother PB - he brings it up all the time to the point of suggesting they would need to have "talks" before bringing on a big expansion on production.  Problem is PB has no leverage.  You do not want to pissoff the T and T gov when they control the pipelines etc.  

PB says they are "a big fish in a small pond" but to me they are the biggest fish in an aquarium owned by T and T gov.

[matt2018]

politicat..... what you are suggesting makes some sense about PB leverage but at the same time T&T desperately need the gas. As TXP start to become an even "larger fish", demand more tax breaks in return for the expansion. If T&T gov't want to play hardball on taxes, put the company up for sale and see if other would want to put money in there.  I dont think it would be