Touchstone Reports Start of North Dakota Drilling

Touchstone Resources Ltd. said that Patterson Rig # 82 has commenced drilling the Wanner 1-27 prospect in Stark County, North Dakota. Estimated drilling time is at 30 days. The targeted depth will be the Lodgepole formation. The Company and its partners have analyzed this prospect by utilizing several different technologies to enhance the project's potential success.

Several other prospective locations have been identified in the immediate area and will be considered after the results of the Wanner are announced. The Mississippian Lodgepole Formation is compromised of carbonate mud mounds which are an important play in the Williston Basin. Conoco made the initial discovery in 1993 in the Dickinson Field. Subsequent field discoveries include the Eland, Duck Creek, Versippi, Hiliine, and Karsky pools located in the immediate area.

The Company has added another partner to the project so its original 50% interest has been adjusted to a 33.3% interest.