Pantheon Resources PLC Operational Update (4133T)

TIDMPANR

RNS Number : 4133T

Pantheon Resources PLC

20 March 2019

20 March, 2019

Pantheon Resources plc

Operational Update

Pantheon Resources plc ("Pantheon" or "the Company"), the AIM-quoted oil and gas exploration company with working interests in several conventional project areas in Tyler and Polk Counties, onshore East Texas, as well as onshore North Slope of Alaska following its January 2019 acquisition of the assets of Great Bear Petroleum, advises the following:

Western Blocks acreage - 10% working interest, Alaskan North Slope

Pantheon has been advised by the operator that data obtained from the drilling of the Winx-1 exploration well will now be integrated into the existing dataset to further develop the understanding of the Nanushuk depositional model, and to further evaluate the remaining resource potential of the acreage. There are several working theories that will be assessed over the coming months, including the exploring the potential for better developed sands on the acreage, updip and in closer proximity to the successful Horseshoe-1/1A and Stony Hill-1 wells.

Alkaid well - 100% working interest, Alaskan North Slope

As previously reported, the Alkaid vertical test well was drilled in 2015 but was not tested at that time due to extensive flooding to the region and to the Dalton Highway, the main haul road for the Alaska North Slope. The well was suspended to avoid equipment being stranded at location after logging all zones and after sidewall coring the deepest zone. The data obtained confirmed indications of oil in three independent horizons, the shallowest at c.4000 ft to the deepest at c.8100 ft depth. The P50 Technically Recoverable Resource at Alkaid is estimated at 549 million barrels of oil.

The intention is to flow test each of these horizons independently and sequentially, working from deepest to shallowest. The first and deepest of these horizons, the ZOI, has now been fracked and flow testing of this zone is expected to commence over the next 24 hours. If successful, ZOI will be flow tested for sufficient time until rates stabilize and satisfactory data is collected. The ZOI will then be isolated off and process repeated for each of the shallower 2 zones (the West Sak and Ugnu) individually in succession. It is not anticipated that the West Sak or Ugnu will require fracking.

The Company intends to report results of the well at the conclusion of drilling operations, after each of the 3 prospective zones have been flow tested. Given the seasonality of drilling operations, it is estimated that all operations will need to be concluded mid to late April.

CEO, Jay Cheatham, commented:

"I am encouraged that work continues by the partners on the Western Blocks of our acreage. Winx-1 was a single wellbore penetration in a large acreage position, and the data gathered will allow a better analysis of the updip potential of the play which remains prospective."

"Flow testing at Alkaid is now imminent and should we be successful then there are significant follow-on drilling opportunities in the area. The Alkaid prospect benefits from being in close proximity to both the Trans Alaskan Pipeline System and the Dalton Highwan. We will report the results after all 3 zones have completed testing. We anticipate needing to demobolize mid to late April to remove the equipment before the spring thaw."

-ENDS-

Further information:

 
 Pantheon Resources plc                               [phone] 
 Jay Cheatham, CEO 
 Justin Hondris, Director, Finance and Corporate 
  Development 
 
 
 Arden Partners plc (Nominated Adviser and broker)    [phone] 
 Paul Shackleton 
  Daniel Gee-Summons 
 

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 holds a 50% to 75% working interest (and in present discussions to increase this to 100% working interest for non-cash consideration) 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. P50 Technically Recoverable Resources are estimated at 157 million barrels of oil equivalent.

In Alaska, following its acquisition of the assets of Great Bear Petroleum in January 2019, Pantheon holds working interests ranging between 10% and 90% of prospects covered by over 1,000 square miles of 3D seismic with P50 Technically Recoverable Resources estimated at 2.1 billion barrels of oil [1.7 billion barrels of oil excluding the Alkaid prospect].

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.

Cautionary Statement: The estimated quantities of petroleum that may be potentially recovered by the application of a future development project relate to undiscovered accumulations. These estimates have both an associated risk of discovery and a risk of development. Further exploration, appraisal and evaluation are required to determine the existence of a significant quantity of potentially movable hydrocarbons.

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 [e-mail] or visit www.rns.com.

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March 20, 2019 03:02 ET (07:02 GMT)