Pantheon Resources PLC
09 June 2006
Pantheon Resources Plc
30 Farringdon Street
London
EC4A 4HJ
Padre Island - Rig Released to PI Project Area Operator Prior to Planned
Drilling Programme
Pantheon Resources Plc ('Pantheon') announces that it has been informed by the
Operator of the Padre Island Project Area, ('PI Project Area'), Golden Gate
Petroleum Ltd ('Golden Gate'), that Parker Drilling's rig number 122 was
released on 28 May. The rig is expected to arrive on site late June 2006. The
rig will be on contract to Golden Gate for twelve months with options to extend
for up to a further two years by six month intervals.
Once on location, the rig will commence an active drilling programme on the
Padre Island Joint Venture ('PIJV'). Pantheon expects to be involved in the
drilling of four exploration wells over an 18 month period. The exact timing and
order of the drilling programme remain dependent on the receipt of final
location approvals from the relevant authorities.
Pantheon is participating initially in six prospects as a result of a farm-out
agreement with Golden Gate concluded in April 2006. The prospect inventory
comprises primarily large, high-quality natural gas plays in an under-explored
deep section of the Gulf of Mexico. As a result of this agreement Pantheon will
earn a 25% working interest in each prospect by paying 33.333% of the costs
associated with drilling each prospect up until the point of casing. The
prospects covered by this farm-in are:
• Plum Deep, from 9,500 to 15,000 feet;
• Manzano Deep, from 10,500 to 16,500 feet;
• Murdock, all depths from surface;
• Lemonseed, all depths below 9,100 feet;
• Wilson, all depths from surface; and
• Kingsway, all depths from surface.
These prospects are all covered by 3D seismic. In the view of the Board of
Pantheon, the deep JV of the PI Project Area is a moderate risk (POS 15% to
36%), high reward exploration venture. It offers the potential, if successful,
of major value accretion to the Company and its shareholders.
Contacts:
Pantheon Resources Plc
Sue Graham, Chairman +44 20 7379 0118
Oriel Securities Limited
Scott Richardson Brown +44 20 7710 7600
This information is provided by RNS
The company news service from the London Stock Exchange