Touchstone Exploration swings to loss and cuts output view
Touchstone Exploration Inc on Thursday reported a swing to a first-half loss, lowered its annual production guidance and raised its forecasts for capital spending and net debt following the $28.4 million acquisition of Shell Trinidad Central Block Ltd.
The onshore oil and gas producer in Trinidad said it recorded a $1.3 million pretax loss in the six months to June 30, compared with a $7.2 million profit a year before. Petroleum and natural gas sales fell 28% year-on-year to $22.1 million, with revenue down to $16.7 million from $23.5 million.
For 2025, Touchstone now expects average production of 5,300 to 5,900 barrels of oil equivalent per day, about 20% below its prior guidance, and has halved its funds-flow-from-operations forecast to $11.0 million.
Capital expenditure guidance is raised to $28.0 million from $23.0 million, while forecast year-end net debt rises to $64.0 million from $30.0 million previously.
The production cut reflects the acquisition and a revised drilling programme, with two planned Cascadura development wells replaced by one well on the Central block and two at the WD-8 property.
Shares in Touchstone Exploration closed 11% lower at 14.25 pence in London on Thursday.
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