Touchstone Exploration Inc T.TXP

A few facts for the board

[jake1444]

-It was posted that Paul played chicken with Methanex and lost...Paul negotiated with the NGC about the price of natural gas in the contract. Not sure why a poster would think otherwise.

-The poster also said that losing this pissing match with Methanex was the reason that he has not released the agreed to price in the contract. In fact the agreed to price in the contract is bound to a NDA. Whatever the price is, whether good or bad is being held confidential. 

-As far as Methanex closing the one plant on the island, he says that they just closed it down seemingly as of today due to this agreement. If the poster did any research at all they would know that the plant in question has been idled since March 16/2020. Methanex press release today was to confirm that it would remained closed until potentially 2022. And also saying that there were ongoing negotiations for a long term natural gas pricing agreement.

-The methanol plant in question uses approximately 80,000,000 standard cubic feet of natural gas as feed stock for the production of methanol. That is a fair bit of natural gas but considering the fact that the other methanol plants on the island use up to a half of a bcf per day of natural gas, there is a huge demand for natural gas on the island.

-Almost all the electrical power produced on the island is from natural gas, over 1000 megawatts are produced and utilized daily. Another huge user of natural gas per day.

-There are 11 ammonia producing facilities on the island as well. All need natural gas. 

I dont profess to know what NGC is going to pay TXP for their gas, maybe it will be low, who knows. But to make it sound like the huge finds that TXP has already made are going to be stranded and essentially useless, is laughable.

[mjh9413]

Like your post Jake. Atlas has NGC contract to 2024 I believe and Titan is plant 100% methanex owned hence ability to make unilateral decision on this plant. I understand methanex produced only about 500,000metric tons last year despite Atlas having capacity of 1,800,000 on its own (with Titan being 875,000 capacity) Strikes me this is no-brainer for Methanex to close Titan.  Wish I knew

[mjh9413]

Did not phrase it quite right. Methanex does have bearing on TXP since NGC has been put on notice re: their methanex negotiations. eom

[jake1444]

https://oilnow.gy/featured/trinidad-tobago-reports-significant-fall-in-natural-gas-production/ Talking about using your noodle, I guess they never even thought that the supply of gas has been falling. Too caught up in ranting again and again about why they sold the stock. Demand might be off due to the effects of the pandemic but supply is down too dumb dumb. 

[Wildcattter]

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[Wildcattter]

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[Wildcattter]

This post has been removed in accordance with Community Policy