Mr. Paul Baay reports

TOUCHSTONE ANNOUNCES ORTOIRE OPERATIONAL UPDATE

Touchstone Exploration Inc. has provided an update on the construction of the Cascadura facility and Royston-1X production testing. Touchstone has an 80-per-cent operating working interest in the Cascadura field and the Royston-1X well, which is located on the Ortoire block onshore in the Republic of Trinidad and Tobago. Heritage Petroleum Company Ltd. holds the remaining 20-per-cent working interest.

Cascadura

The Cascadura-1ST1 and Cascadura Deep-1 downhole safety plugs were removed on July 8 and July 9, 2023, respectively. Both wells are currently shut-in, with wellhead pressures at approximately 4,100 pounds per square inch. It is anticipated that the Cascadura natural gas and liquids facility will operate between approximately 600 to 750 pounds per square inch.

On July 20, 2023, the company completed the initial operational preparedness inspection of the facility with the Ministry of Energy and Energy Industries (MEEI), which involved a comprehensive evaluation of the facility's infrastructure, safety protocols and operational procedures. Following the inspection, minor modifications to optimize the facility's performance and operational protocols were completed, and the facility was mechanically complete on July 30, 2023. Pressure testing of the facility with inert nitrogen gas commenced on July 28, 2023, and is now 70 per cent complete.

As the company continues to pressure test the facility, it will finalize the electrical and instrumentation connections required to link the Cascadura facility to the National Gas Company of Trinidad and Tobago pipeline tie-in point. The company is scheduling the final MEEI inspection this week prior to the introduction of initial natural gas into the system.

Royston

Production testing at Royston-1X is continuing and the company will update the market when testing has concluded.

Paul Baay, president and chief executive officer, commented:

"Touchstone is working diligently to complete the commissioning of the facility and we are eager to commence first production. We continually strive to meet or exceed all industry regulations and guidelines, and our adherence to the highest health and safety standards will continue to guide us through the completion of the facility."

Touchstone Exploration Inc.

Based in Calgary, Alta., Touchstone Exploration is a company 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.

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