Touchstone Exploration Inc (AIM:TXP, TSX:TXP, OTC:PBEGF) has announced aa new light oil discovery in the Royston-1 exploration well, on the Ortoire block in Trinidad, where the first of three tests beat expectations.
The well was drilled down to a depth of 10,700 feet, Touchstone noted, and encountered a significant Herrera turbidite package with observed thickness of over 1,000 feet gross including around 609 feet of clean sand (with 393 gross feet in two unique ‘thrust sheets’ that appeared to be hydrocarbon pay).
It has completed the first of three planned production tests on Royston-1 which evaluated the interval at the bottom of the well, it was a 92 foot gross interval, and the test measured a rate of 360 barrels of 34.5 degree API crude oil per day.
"We are excited to discover a promising new light oil pool in the deepest test section of the Royston well, adding further potential to the future development opportunity in the Royston area, as light oil can be easily and economically developed alongside any gas development,” said chief executive Paul Baay. “The initial test confirms the large hydrocarbon column in the well, and we interpret the following two primary testing targets to be liquids rich natural gas.
“These results exceed pre-test expectations, as a flowing light oil opportunity with significant development potential from the bottom 100 feet of the wellbore is a major addition to the Royston area opportunity.”
In the well, the team will now move up to test the next targets – which are the well's primary production test intervals.
Informed by wireline logging and drilling data, the company is now configuring the next two uphole primary production test intervals to evaluate liquids rich natural gas prospects, with flowback and full build-up analysis planned for each zone.
We have the potential to further evaluate the intermediate Herrera in future drilling programs by penetrating the intermediate sheet when we drill and assess the underlying Cretaceous prospect.
“These results further amplify our onshore opportunities in Trinidad."
Touchstone noted that the second test is expected to be done in the next three weeks, and, the third is slated to be complete before the end of December.