12 July, 2019
Pantheon Resources plc
Pantheon Resources plc ("Pantheon" or "the Company"), the AIM-quoted oil and gas exploration company with up to 100% working interests in several conventional project areas in Tyler and Polk Counties, onshore East Texas, and 75% - 90% working interests in several projects onshore North Slope of Alaska, is pleased to provide the following update:
Update on Alkaid discovery and Talitha appraisal
Pre-application meetings with state and federal agencies for the Pilot Production Testing of the Alkaid discovery have now taken place, with positive and supportive feedback received. No permitting issues have been identified. Current planning could allow for the project coming on line as early as Summer 2020, subject to completion and timing of a successful farmout.
The Alkaid discovery was successfully flow tested in March 2019 and is estimated to contain 900 million barrels oil in place and 90-135 million barrels of oil P50 technically recoverable resource. The nearby Talitha Appraisal is estimated to contain an additional 900 million barrels oil in place and 90-135 million barrels of oil P50 technically recoverable resource.
Update on Farmout process
The Company is working closely with the technical experts at eSeis on preparation of the data room, which is on target to open this month. The Company also confirms that it has already commenced discussions with several industry and financial groups.
The Company aims to drill a minimum of two wells in Winter/Spring 2019/2020 (most likely one at Talitha and one at Alkaid/Phecda) with first production possible in 2020 as outlined above.
Jay Cheatham, CEO, commented: "It is gratifying that our Alaskan operations are progressing at a rapid pace. Our favourable location immediately adjacent to the Trans-Alaska Pipeline System (TAPS) pipeline and Dalton Highway has allowed our Alaskan team to plan an extremely rapid Pilot Production Test timeline at our Alkaid discovery and Talitha appraisal program. Given a successful farmout, Pantheon could be in production yielding critical reservoir data and cash flow next summer, initially trucking oil north on the main highway to Deadhorse Alaska, only 20 miles north of Alkaid.
"It's a testament to our Alaskan team that it was able to get the Alkaid well tested this past winter from a January start. I'm also pleased eSeis will have the data room ready in Houston this month. We have made a material discovery at Alkaid/Phecda, with genuine potential for this to grow.
"Given the size, scale and the rapid development opportunity compared with other Alaskan projects, we anticipate great interest in the farmout process. We've already been approached by several industry and financial groups and our Technical staff have begun preparatory discussions."
Pantheon Resources plc
+44 20 7484 5361
Jay Cheatham, CEO
Justin Hondris, Director, Finance and Corporate Development
Arden Partners plc (Nominated Adviser and broker)
+44 20 7614 5900
Notes to Editors
Pantheon Resources plc is an AIM listed Oil & Gas exploration and production company with assets in East Texas and on the North Slope of Alaska, onshore USA.
The Group's stated objective is to create material value for its stakeholders through oil exploration, appraisal and development activities in high impact, highly prospective assets, in the USA; a highly established region for energy production with infrastructure, skilled personnel and low sovereign risk. All operations are onshore USA, with drilling costs an order of magnitude below that of offshore wells.
In East Texas, Pantheon held a 50% to 75% working interest ("WI") in several conventional prospects in Tyler & Polk Counties, in an area of abundant regional infrastructure, and in proximity to the prized Double A Wells Field. Pantheon has the ability for this working interest position to increase to 100% should the minority partner not be in a position to meet its pro rata share of future drilling and operating costs.
In Alaska, following its acquisition of the assets of Great Bear Petroleum in January 2019, Pantheon holds working interests ranging between 75% and 90% of prospects covered by circa 1,000 square miles of 3D seismic with P50 Technically Recoverable Resources estimated at over 1.2 billion barrels of oil.
For further information on Pantheon Resources plc, see the website at: www.pantheonresources.com
The information contained within this RNS is considered to be inside information prior to its release. Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.
In accordance with the AIM Rules - Note for Mining and Oil & Gas Companies - June 2009, the information contained in this announcement has been reviewed and signed off by Jay Cheatham, a qualified Chemical & Petroleum Engineer, who has over 40 years' relevant experience within the sector.
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