Pantheon Resources PLC (LON:PANR) shares advanced over 10% in Monday’s dealing after it announced deals to acquire a controlling stake in East Texas oil and gas assets.
It includes interests in the VOS#1 well, which is already partially owned by Pantheon.
READ: Monday’s stock market movers report
The transactions allow Pantheon to assume management control of the projects which, at 30 June 2018, had a book value of US$3.8mln.
“Importantly, it paves the way for Pantheon to assume operatorship and decision-making responsibility for our East Texas assets into the future,” said Jay Cheatham, Pantheon chief executive.
The transaction sees Pantheon acquire Kaiser Francis’s 66.6% stake in Vision Gas Limited and Vision Resources LLC.
It gives the company interests of between 50% and 75% in several conventional project areas in Tyler and Polk Counties.
Pantheon noted that it is also in negotiations with the estate of Bobby Gray, the late CEO of Vision, to acquire the remaining interests in the Vision entities.
In Monday morning’s deals, Pantheon shares were up 2.48p or 10.4% priced at 26.22p.