Pantheon Resources PLC (AIM:PANR, OTC:PTHRF) has uncovered a "world-class" oil discovery on its Theta West acreage in Alaska, according to independent consultants brought in to assess the area’s potential.
The respected US outfit Baker Hughes Advanced Hydrocarbon Stratigraphy (AHS) was charged with compiling a volatile analysis service report based on data collated after a successful appraisal well was sunk early this year.
Experts reckon there is a continuous column of oil-bearing cuttings of at least 1,360 feet that is host to a light crude in the order of 37-39 degrees API.
The AHS report concludes there are "abundant good quality reservoirs" with an "ultimate, non-permeable seal" at 7,070 feet.
Pantheon said the results are "complete accord and supportive" of previous analyses of cuttings from previous work on the acreage on Alaska’s prolific North Slope.
Chief executive Jay Cheatham said: "This is a great endorsement from AHS, and one of several technical tools we employ.
“As we have always said, ultimate commerciality on our projects will be determined by flow testing."
The company estimates the project, which is close to infrastructure, is host to 17bn barrels of which 10% or 1.7bn barrels is deemed recoverable.
Pantheon’s technical director, Bob Rosenthal, said the AHS report was further confirmation of a "great result" for Pantheon at Theta West.
“We consider Mike Smith and his team at Baker Hughes, Advanced Hydrocarbon Stratigraphy, to be one of the leading experts globally in their field and the conclusions validate our understanding of the resource,” he added.
“The results are extremely promising for our Theta West project, the largest project in our portfolio, and we are pleased to have independent experts refer to this as a ‘world-class petroleum system’.”