Lurk & Learns:
A Canada Stockwatch Summary of most of the recent developments as (The Occupus?) Touchstone spent the past year in a myriad of activities. All culminating in a benthonic PPS after all of the "comess" outlined in the CSW summary. Canada Stockwatch Energy Summary for Aug. 13, 2024
2024-08-13 20:12 ET - Market Summary
by Stockwatch Business Reporter
...........Snipped Market Analysis & Tourmaline/Crew Energy TO .............
Further afield, a different suitor is facing much rougher sailing in attempting to close a takeover.
Paul Baay's Trinidad-focused Touchstone Exploration Ltd. (TXP) added two cents to 57 cents on 80,000 shares, as it released its latest quarterly financials, which included a rundown of the continuing Trinity Exploration saga. <hence the origin of the Trini salutation for JB "saga boy"?>
Trinity is a small local producer that accepted a $30.1-million all-share takeover offer from Touchstone in May. A rival bidder is continuing to try to scupper the deal.
As discussed previously, the rival is a local private company <HQ'd in Otahiti IP proximal to Schlumberger in LaRomain not to mention also the home of the world famous Mosquito Creek mangrove, "Blue Crab"> called Lease Operators, which on July 18 offered $47-million for Trinity in all cash.
Trinity immediately said it wanted to consider this offer, and subsequently said on Aug. 2 that it prefers this offer and wants to break things off with Touchstone.
Trinity's shareholders, however, already approved Touchstone's offer on June 24, which triggered binding contracts in respect of nearly two-fifths of Trinity's shares -- enough to fend off Lease Operators.
The contracts are irrevocable unless Touchstone bows out. It can do so without consequence on Aug. 22, but has not said whether that is its intention.
Today's financials rehashed much of the above (although only in the lengthy and tortured legalese that Touchstone seems to find mandatory whenever it so much as whispers the name Trinity).
More usefully, the financials also included a long-awaited update to Touchstone's production guidance.
<Stanley's comment: Touchstone adherence to some version of a "standstill" agreement demands that some form of proof of transparency as manifested in the "tortured legalses" is prepatory/contingency litigation protection should a target becomes attracted to the (should have been anticipated by Touchstone?) "now for now" syndrome called, "a shiny bird in the hand is better than two in the (Ortoire Block located) Moruga forest".
Maybe (as many others before in a similiar situation has decided) choosing to see a net benefit to pay the "divorce lawyers" as part of their expressed wish to "break things off with Touchstone".
Making August 22nd a date to watch.
The company previously said it would aim for a full-year average of 9,400 barrels a day and end the year producing 14,500 barrels a day.
Four months ago, however, investors were dismayed to learn that reservoir woes at the core Cascadura field were dragging production down significantly. (Total output averaged just 5,400 barrels a day in the second quarter.)
Citing early success in a recompletion program, Touchstone has now revised its full-year guidance to 8,000 barrels a day and the year-end target to 13,500 barrels a day.
While these cuts are not as steep as some had feared, the new targets are highly dependent on the results of new wells that Touchstone hopes to bring on-line next month.
..................... A "peek" into a/the replicated Touchstone future???? ...............
Another international producer<a Touchstone Stablemate in Brazil>, Corey Ruttan's Brazil-focused Alvopetro Energy Ltd. (ALV), added five cents to $5.02 on 20,500 shares, after renewing its share buyback program.
It can buy back up to 2.95 million of its 36.6 million shares over the next 12 months. (The trim share count is partly the result of a 1-for-3 rollback that Alvopetro completed in 2021.) The extent to which Alvopetro will use the program is not quite clear.
A similar program was in place last year, giving Alvopetro room to buy back up to 2.87 million shares, but in the end it bought back a mere 4,600, spending barely $30,000.
In any case, the renewal keeps a promise that Alvopetro made last week, when it released its second quarter financials and simultaneously promised to "complement our shareholder return model" with buybacks.
It even set an initial budget for buybacks of about $500,000 (U.S.). The company also has a nine-U.S.-cent quarterly dividend, representing a yield of 9.6 per cent.
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GLTAL GLAP Caveat Emptor
Cheers
Stanley