Operations

Operations

Touchstone has been producing oil in Trinidad since 2010 and is now one of the largest onshore independent oil producers in the country. The Company holds interests on producing and exploration properties in southern Trinidad. All producing properties are operated by Touchstone; a full schedule of our producing assets are set out in the table below:

Summary of Producing Properties

Gross Reserves (Mbbl)
Properties Working Interest Lease Type Average Daily Production (bbls/d) Gross Acres Total Proved* Total Probable* Total Possible* Total Proved + Probable + Possible*
Coora (Block 1 & 2) 100% LOA 316 1,699 3,905 1,867 1,574 7,346
WD-4 100% LOA 479 700 2,865 2,513 2148 7,525
WD-8 100% LOA 267 650 2,228 2,291 1,334 5,853
Fyzabad 100% Crown and Private 137 564 1,074 634 528 2,235
Barrackpore 100% Freehold 37 211 131 116 106 353
Icacos 50% Freehold 11 1,947 42 16 17 75
New Dome 100% Farmout 24 69 86 28 38 152
Palo Seco 100% Crown 14 499 140 66 41 247
San Francique 100% Freehold 84 1,351 261 272 136 669
South Palo Seco 100% Farmout 6 2,019 0 0 0 0
                 
TOTAL 1,375 9,709 10,733 7,802 5,921 24,456

The Company’s core focus is on developing production on its four onshore lease operatorship properties (Coora Block 1 & 2, WD-4 & WD-8) and its Fyzabad onshore property. The Company also has interests in a number of small undeveloped exploration properties and two larger exploration blocks. The Company’s exploration and undeveloped blocks consist of approximately 80,250 gross acres.

* The reserves information above summarizes certain information from the Company’s Reserves Report prepared by Touchstone’s independent reserves evaluator, GLJ Petroleum Consultants Ltd. (“GLJ”), with an effective date of December 31, 2017. The report was prepared in accordance with definitions, standards and procedures contained in the Canadian Oil and Gas Evaluation Handbook and National Instrument 51-101 – Standards of Disclosure for Oil and Gas Activities (“NI 51-101”). The disclosure above represents only a portion of the disclosure required under NI 51-101. Full disclosure with respect to the Company’s reserves as at December 31, 2017 is contained in the Company’s Annual Information Form for the year ended December 31, 2017 dated March 26, 2018.

The recovery and reserves estimates of crude oil provided herein are estimates only, and there is no guarantee that the estimated reserves will be recovered. Actual crude oil reserves may be greater than or less than the estimates provided herein. The reserves evaluator forecasts reserve volumes and future cash flows based upon current and historical well performance through to the economic production limit of individual wells. Notwithstanding established precedence and contractual options for the continuation and renewal of the Company’s existing operating agreements, in many cases the forecast economic limit of individual wells are beyond the current term of the relevant operating agreements. There is no certainty as to any renewal of the Company’s existing operating arrangements.

Possible reserves are those additional reserves that are less certain to be recovered than probable reserves. There is a 10% probability that the quantities actually recovered will equal or exceed the sum of proved plus probable plus possible reserves.