Touchstone Exploration shares jump after strong second-quarter results
Touchstone Exploration Inc on Friday reported a rise in second-quarter profit, as higher realised commodity prices boosted revenue despite lower production and continued investment in its Trinidad assets.
Shares in the onshore oil and gas producer in Trinidad jumped 25% to 10.00 pence Friday morning in London.
Touchstone reported pretax profit of USD4.0 million, improved from USD1.4 million a year earlier. Revenue climbed 58% to USD13.2 million from USD8.4 million. Petroleum and natural gas sales accounted for the majority of revenue, rising 59% to USD17.5 million from USD11.0 million.
Touchstone achieved average daily production of 4,433 barrels of oil equivalent per day, up 0.8% from 4,399 boe a year earlier. Compared with the first quarter, production fell 4.8% from 4,657 boe, due to "planned third-party infrastructure maintenance at Atlantic LNG that temporarily constrained natural gas production," the company said.
Net debt grew 7.5% year-on-year to USD68.7 million from USD63.9 million. During the quarter, Touchstone repaid USD3.6 million of bank debt and invested USD1.5 million in capital expenditure, while also raising USD8.4 million through a debenture.
Operational activity included the commissioning of the Cascadura compressor, completion of the BRE-1 recompletion and two WD-8 development wells, while Touchstone advanced further well optimisation and development projects despite temporary LNG infrastructure constraints.
The company's average realised commodity price grew 57% to USD43.30 per boe from USD27.50. The increase reflected higher realised prices across all three commodity streams, with natural gas prices almost doubling to USD4.93 per thousand cubic feet.
President and Chief Executive Officer Paul Baay said: "Our second quarter financial and operating results demonstrate the strong underlying earning power of our assets when supported by favourable pricing and disciplined execution." He added that the company had taken "decisive steps to strengthen our capital structure", including reducing quarterly net debt by 10% and subsequently repaying its USD8.40 million debenture and redirecting the proceeds into common shares.
Copyright 2026 Alliance News Ltd. All Rights Reserved.