Mr. Paul Baay reports

TOUCHSTONE ANNOUNCES ADDITIONAL US$7 MILLION REVOLVING LOAN FACILITY

Touchstone Exploration Inc.'s wholly owned Trinidadian subsidiary, Touchstone Exploration (Trinidad) Ltd., has entered into a second amended and restated loan agreement with its Trinidad-based lender providing for an additional $7-million (U.S.) revolving loan.

The amended loan agreement provides for a $7-million (U.S.) revolving loan facility in addition to the existing term facility. The existing term facility component of the amended loan agreement currently has a principal balance of $25.5-million (U.S.), with 17 equal and consecutive quarterly principal payments of $1.5-million (U.S.) outstanding and a maturity date of June 15, 2027. Republic Bank Ltd. is continuing to act as the sole lender, arranger and facility agent of the amended loan agreement.

Touchstone intends to use the revolving loan proceeds to maintain financial flexibility while we proceed with Royston-1X production testing operations and Cascadura facility construction where the company continues to target for first production on or around June 30, 2023.

Aside from adding the revolving loan component, the amended loan agreement did not alter any material terms of the company's first amended and restated loan agreement effective Dec. 20, 2021. The revolving component of the amended loan agreement has the following terms and conditions, with no additional financial or affirmative and negative covenants other than as provided under the first amended and restated loan agreement between the parties.

Borrower:  Touchstone Exploration (Trinidad) Ltd.

Additional facility type:  revolving loan

Amount:  $7-million (U.S.)

Term:  one year, with the option to extend annually by additional periods of up to one year

Interest rate:  fixed on drawdown date, based on the one-year term secured overnight financing rate (SOFR) plus an applicable margin per annum, reset annually

Interest payments:  payable monthly in arrears

Repayment:  principal may be repaid at any time, on or before the maturity date, without penalty and any amounts repaid may be redrawn at any time

Collateral:  increase of existing senior mortgage debenture over the fixed and floating assets of the borrower and its subsidiaries

About Touchstone Exploration Inc.

Touchstone Exploration is a company based in Calgary, Alta., engaged in the business of acquiring interests in petroleum and natural gas rights and the exploration, development, production and sale of petroleum and natural gas. Touchstone is currently active in onshore properties located in the Republic of Trinidad and Tobago.

We seek Safe Harbor.