Mr. Paul Baay reports

TOUCHSTONE EXPLORATION ANNOUNCES CLOSING OF THE FUNDRAISE AND NOTICE OF AGM

Touchstone Exploration Inc. has closed its previously announced integrated financing on the terms previously disclosed in the company's news release dated June 8, 2026.

The aggregate 26,631,330 new common shares of no par value issued in connection with the integrated financing have received conditional approval for listing and trading on the Toronto Stock Exchange and have been admitted to trading on the Alternative Investment Market of the London Stock Exchange.

In addition, the company has issued unsecured non-convertible debt securities with an aggregate principal amount of approximately $8.4-million (U.S.) to Purebond Ltd. as part of the integrated financing.

2026 annual and special meeting of shareholders

Touchstone's virtual annual and special meeting of shareholders will be held on Thursday, July 23, 2026, at 8 a.m. Mountain Time.

Registered and beneficial shareholders will be mailed a notice-and-access notification and form of proxy on or about June 23, 2026, advising as to the electronic availability of the meeting materials, including the 2026 management information circular, the 2025 audited consolidated financial statements, and the related management's discussion and analysis. For holders of the company's depositary interests, hard copies of the circular and form of direction will be mailed on or about June 23, 2026.

The meeting materials will be available under the company's profile on SEDAR+ and on the company's website following mailing.

Among other matters to be considered at the meeting, independent shareholders will be asked to approve a resolution pursuant to which the debt securities would be repaid in full and the repayment proceeds would be applied to subscribe for 89,765,000 new common shares of the company. Further information regarding the resolution will be included in the circular.

As previously disclosed in the company's June 8, 2026, news release, Purebond's entry into the subscription agreement, together with the proposed repayment of the debt securities and resubscription for common shares, constitutes a related party transaction under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The repayment of the debt securities and the application of the proceeds to a subscription for common shares are subject to receipt of required shareholder and regulatory approvals.

The repayment and resubscription will result in the issuance of additional common shares to Purebond, an insider of the company, and are expected to result in Purebond becoming a control person. The transaction will be subject to approval by disinterested shareholders in accordance with Toronto Stock Exchange requirements and MI 61-101, with Purebond and other participating insiders, and their affiliates and associates, excluded from voting.

About Touchstone Exploration Inc.

Touchstone Exploration is a Calgary, Alta.-based 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. The company's common shares are traded on the Toronto Stock Exchange and the AIM market of the LSE under the symbol TXP.

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