TIDMTXP
RNS Number : 4697W
Touchstone Exploration Inc.
22 December 2021
TOUCHSTONE ANNOUNCES EXPANSION OF CREDIT FACILITY TO US$30
MILLION
CALGARY, ALBERTA (December 22, 2021) - Touchstone Exploration
Inc. ("Touchstone", "we", "our", "us" or the "Company") (TSX, LSE:
TXP) is pleased to announce that it has entered into an amended and
restated loan agreement with its Trinidad based lender providing
for a $10 million increase in the principal balance to $30 million
(the "Amended Loan Agreement").
Touchstone currently has $15 million of the loan principal
balance drawn and anticipates withdrawing the remaining $15 million
available balance prior to the end of 2021. The Amended Loan
Agreement provides enhanced financial flexibility at attractive
after tax pricing.
The Amended Loan Agreement did not alter any material terms of
the Company's prior loan agreement, save for an additional
underwriting fee of $50,000 payable to the lender, equivalent to
0.5% of the increased principal amount. The following material
terms and conditions of the original loan agreement remain
applicable:
Touchstone Exploration (Trinidad) Ltd.
* Borrower
Senior secured syndicated loan, with Republic
* Facility type Bank Limited acting as initial lender,
arranger and administrative agent
US$30 million
* Revised facility amount
Principal may be withdrawn prior to January
* Principal availability period 1, 2022
June 15, 2027 - seven years from the initial
* Term closing date
7.85% per annum, payable quarterly in
* Fixed interest rate arrears
Twenty equal and consecutive quarterly
* Principal amortization schedule principal repayments commencing on September
15, 2022
Currently permitted with a 1.0% penalty
* Prepayments and a 90-day notice period, no penalties
payable after June 15, 2023
Senior mortgage over fixed assets of the
* Collateral Borrower and its subsidiaries and a corporate
guarantee from Touchstone Exploration
Inc.
Net Senior Funded Debt to EBITDA less
* Financial covenants (to be initially tested for the than 2.5 times
year ended December 31, 2022) Net Senior Funded Debt to Book Value Equity
less than 0.7 times
Debt Service Coverage Ratio greater than
2.5 times
Maintain a balance of not less than the
* Cash reserve balance equivalent of two quarterly interest payments
due
Touchstone Exploration Inc.
Touchstone Exploration Inc. is a Calgary, Alberta 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 London Stock Exchange under the
symbol " TXP " .
For further information about Touchstone, please visit our
website at www.touchstoneexploration.com or contact:
Mr. Paul Baay, President and Chief Executive Officer Tel: +1
(403) 750-4487
Mr. Scott Budau, Chief Financial Officer
Shore Capital (Nominated Advisor and Joint Broker)
Daniel Bush / Toby Gibbs / Michael McGloin Tel: +44 (0) 207 408
4090
Canaccord Genuity (Joint Broker)
Adam James / Henry Fitzgerald O'Connor / Thomas Diehl Tel: +44
(0) 207 523 8000
Camarco (Financial PR)
Billy Clegg / Emily Hall / Lily Pettifar Tel: +44 (0) 203 781
8330
Advisories
Forward-Looking Statements
Certain information provided in this announcement may constitute
forward-looking statements and information (collectively,
"forward-looking statements") within the meaning of applicable
securities laws. Such forward-looking statements include, without
limitation, forecasts, estimates, expectations, and objectives for
future operations that are subject to assumptions, risks, and
uncertainties, many of which are beyond the control of the Company.
Forward-looking statements are statements that are not historical
facts and are generally, but not always, identified by the words
"expects", "plans", "anticipates", "believes", "intends",
"estimates", "projects", "potential" and similar expressions, or
are events or conditions that "will", "would", "may", "could" or
"should" occur or be achieved.
Forward-looking statements in this announcement may include, but
is not limited to, statements relating to the Company's expectation
and timing of withdrawing the Amended Loan Agreement available
principal balance. Although the Company believes that the
expectations and assumptions on which the forward-looking
statements are based are reasonable, undue reliance should not be
placed on the forward-looking statements because the Company can
give no assurance that they will prove to be correct. Since
forward-looking statements address future events and conditions, by
their very nature they involve inherent risks and uncertainties.
Actual results could differ materially from those currently
anticipated due to a number of factors and risks. Certain of these
risks are set out in more detail in the Company's 2020 Annual
Information Form dated March 25, 2021 which has been filed on SEDAR
and can be accessed at www.sedar.com . The forward-looking
statements contained herein are made as of the date hereof, and
except as may be required by applicable securities laws, the
Company assumes no obligation to update publicly or revise any
forward-looking statements made herein or otherwise, whether as a
result of new information, future events or otherwise.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
MSCFIFIDFLLFFIL
(END) Dow Jones Newswires
December 22, 2021 02:02 ET (07:02 GMT)
Touchstone Exploration (LSE:TXP)
Historical Stock Chart
From Mar 2024 to Apr 2024
Touchstone Exploration (LSE:TXP)
Historical Stock Chart
From Apr 2023 to Apr 2024
