LONDON – Pantheon Resources plc (AIM:PANR, OTCQX: PTHRF), an oil and gas exploration company, announced preliminary results from the Megrez-1 well on Alaska's North Slope indicating a significant increase in hydrocarbon resources. The company, which is developing the Kodiak and Ahpun oil fields, detailed the results during today's Sequire Investor Summit.
Analysis of logs, samples and cuttings from the Majrez-1 well was performed using AHS Baker Hughes (NASDAQ:)' Value Added Services (VAS) has uncovered a hydrocarbon plume with a total vertical thickness (TVT) of 2,310 feet, exceeding the original estimate. This result could lead to a 15% to 50% increase in resource estimates for the Upper Schrader Bluff and Prince Creek formations. Before drilling, these formations were estimated to contain 609 million barrels of oil.
Initial flow tests are scheduled to begin in the first quarter of 2025 and last for 10 days each, for the four oil horizons originally identified. Success in these tests is expected to result in the resources being reclassified from potential resources (2U (OTC:)) to units (2C).
Furthermore, the company has identified three additional potential oil containment zones in the lower Sagavanirktok Formation, which have excellent porosity and permeability. These results add approximately 1,620 feet of measured depth, equivalent to 1,040 feet TVT, and could represent a significant increase in additional resources. If confirmed by further analysis, these areas will undergo flow testing before the well is suspended as a future producer or injector.
All potential reservoirs are interpreted to contain associated oil, with liquid hydrocarbons present throughout the total column estimated at 2,310 feet of TVT, of which 1,340 feet of TVT is interpreted as net pay.
Bob Rosenthal, technical director of Pantheon Resources, said he was excited about the potential of the Megrez-1 well, especially given its location near the Trans Alaska Pipeline. David Hobbs, CEO, noted that although it is too early to estimate, the eastern conventional reservoir accumulations in the Ahbon field could rival those in the Kodiak field.
The company will continue to work on mapping the extent of these resources and developing a flow testing strategy. These developments are based on a press release issued by Pantheon Resources. Further updates on the analysis and any flow test results will be shared as they become available.
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