Pantheon Resources Plc (LON:PANR) shares advanced in Wednesday’s early deals after the company told investors that production has started from the VOS#1 well in East Texas.
The company, in a statement, said that the well was connected to the pipeline earlier this month, and, following a cleaning up period is now producing at a rate of 2,000mcf per day plus trace oil.
READ: Eco Atlantic Oil & Gas confirms cash boost as Total completes Guyana buy-in
"After over a 2-year shut-in period the well is exhibiting good characteristics with good reservoir energy,” said Jay Cheatham, Pantheon chief executive.
“Now that Pantheon controls operations, we will manage this well conservatively in order to avoid any reservoir damage.
“With today's strong gas prices, the well can generate valuable cash flows for Pantheon."
On AIM, Pantheon shares were up 5.5% changing hands at 17.8p.