Business
Wilson Update
Wilson Update.
About this update from Pantheon Resources Plc
[{"type":"text","content":"\n Pantheon Resources PLC\n18 June 2007\n\n\nJune 18, 2007\n\nPANTHEON RESOURCES PLC\n\nFirst Zone at Wilson Declared Commercial\n\n •The Board of Pantheon Resources ('Pantheon') is pleased to announce that\n the first zone at Wilson has been declared commercial. This follows\n preliminary analysis of the successful test results announced on June 4,\n 2007.\n\n •Work is now underway to tie this well into the sales pipeline. This is\n scheduled to take approximately eight weeks to complete.\n\n •The Operator has indicated that this first zone alone is capable of\n producing at a gross rate between 2.5 to 3.5 million cubic feet a day\n ('mmcfd'), once tied-into the sales grid. Based on the Operator's view of\n the potential from the first zone at Wilson alone, this would increase\n Pantheon's net output over ten-fold.\n\n •The Operator has provided initial estimates of potential recoverable\n natural gas volumes for this zone alone. These are estimated to be between 8\n to 20 billion cubic feet ('bcf').\n\n •This compares with pre-drill gross best estimate potential reserves\n (previously described as 'P50 potential reserves') of 9 bcf for the entire\n prospect as assessed by Pantheon's independent technical adviser.\n\n •It should be recognised that these reserve estimates are not definitive\n at this stage. This is attributable to the poor quality and incomplete\n nature of the electric logs obtained over the zone. A final assessment\n requires more production data, which will be acquired over the next few\n months. It will also necessitate the drilling of an appraisal well once this\n data has been collected and evaluated.\n\n •Testing of two of the remaining zones was not completed adequately. This\n was as a result of poor well conditions.\n\n •The Wilson partners decided that it was better to complete the well for\n commercial production in the bottom zone rather than persist with testing\n operations in poor well bore conditions. This strategy had the benefit of\n avoiding problems further up the well bore. The strong prevailing US gas\n prices also represented a major incentive to bring the lower Wilson zone\n into production as soon as possible.\n\n •Potential reserves in the other zones will be evaluated further in a\n subsequent appraisal/development well. These may add to the volumes already\n establi...