Pantheon Resources, the oil and gas company developing the Kodiak and Ahpun projects located in close proximity to pipeline and transportation infrastructure on Alaska's North Slope, has advised the the following:
Operating Update
Pantheon is pleased to confirm that the Nabors 105AC rig is contracted and is currently mobilising to the Dubhe-1 pad. The Dubhe-1 well is an appraisal well targeting the Ahpun Topset (previously referred to as the Shelf Margin Deltaic-B ('SMD-B') horizon as the primary target. In June 2024, the Independent Experts Report ('IER') by Cawley Gillespie & Associates ('CG&A') estimated 2C Contingent Resources for the Ahpun Topsets of 282 million barrels of Marketable Liquids (ANS Crude) and 804 billion cubic feet ('BCF') of natural gas.
Dubhe-1: Objectives
- Progress the Ahpun Topset development (CG&A estimate (10 June 2024) of 282 mmbbls 2C liquid resources and NPV10 $1.7 billion (at $80 oil))(1)
- Assess the main topset reservoir horizon (SMD-B) in order to plan optimum production laterals
- Penetrate additional potential pay zones (Lower Prince Creek, SMD-C and a Slope Fan)
The Company is planning for a potential lateral completion and long term flow test, which, if undertaken, would be intended to prove deliverability of oil and pipeline-quality associated gas. The planned oil production is the main value driver of any development while the associated gas and its value in the Alaska LNG Phase 1 Project supports the financing strategy.
The Directors believe that the Dubhe-1 well will generate important news flow over coming months as well as potentially supporting Independent Expert Report resource and valuation upgrades based on the following:
- The pre-drill prognosis indicates that the target zone at Dubhe-1 has the potential to be thicker than Pipeline State#1 and Talitha-A;
- Any confirmation of increased thickness would add to the potential drilling inventory (e.g. via "wine-racking"); and
- Expected penetration of three additional exploration targets (Lower Prince Creek, SMD-C and a Slope Fan) not included in the independent resource estimates.
Source: Pantheon Resources
