(Disclosure: The following represents my opinions only. I am not receiving any compensation for writing this article, nor does Hydra Capital have any business relationship with companies mentioned in this post. I am long TXP.)
Touchstone Exploration (TXP.TO, last at $0.47)
I’ve casually followed Touchstone for years and have never really cared to own it until recently. It has always seemed “cheap” based on its cash flow and reserves from onshore oil production in Trinidad, but there was never anything to get me interested. A while back, the company announced a gas discovery at its Coho prospect which eventually yielded test data suggesting that the Coho-1 well was capable of producing at an initial rate of 10-12 mmcf/d. I found that intriguing, but it didn’t pull me over the fence.