Pantheon Resources PLC (LON:PANR) says it has hit a potentially significant reservoir in the VOBM-2H prospect in east Texas.
The well has now been drilled to a depth of 16,450 feet, and confirmed the presence of hydrocarbons in the primary target, the Eagle Ford sandstone.
Pantheon said the reservoir could potentially be significant but cautioned that “the significance of these results cannot be accurately assessed until flow testing operations have been completed.”
A lower cost work-over rig will now be moved to the site to carry out a flow testing operation.
"I am extremely pleased to report that we have successfully concluded the sidetrack of the VOBM-2H well and have encountered promising log responses,” said Jay Cheatham, Pantheon chief executive.
“The successful completion of this well confirms our belief that we can drill vertical wells into the Eagle Ford, quickly and economically.
“We remain extremely excited by the potential of our prospects and we look forward to flow testing the VOBM-2H sidetrack well.”
Pantheon has now started completion operations on the VOBM-4 well which will also be tested.
“Should flow test results confirm the Wilcox to be a commercial producer on our acreage, then the company will expedite arrangements for first production in Tyler County, complimenting plans for first production in Polk County which are progressing well,” Cheatham added.