Pantheon Resources PLC (AIM: PANR, OTCQX: PTHRF) has announced an expert opinion affirming that the Ahpun ‘topsets’ resource, located on the west side of the Dalton highway, can be economically developed.
The Alaska-focused oil and gas company disclosed the initial resource estimate for the western topset horizons in the Ahpun oil and gas field. Independent consultant Cawley Gillespie & Associates (CGA) estimated the area contains approximately 282.06 million barrels of contingent recoverable resources.
CGA further assessed a net present value of $1.74 billion for the western topsets of the Ahpun field, assuming an Alaskan (ANS) crude price of $80 per barrel.
This analysis forms part of Pantheon’s broader evaluation of the Kodiak field, which includes the Ahpun western topsets and the Alkaid horizon. The Kodiak field is believed to host over 1.5 billion barrels of crude and 6.5 trillion cubic feet of associated gas.
Chief executive Jay Cheatham commented, “Cawley Gillespie & Associates have validated Pantheon’s assessment that the Ahpun topsets on the west side of the Dalton Highway can be economically developed, even excluding the potential market offtake for natural gas. This underscores our ability to support the in-state phase of the Alaska LNG project, starting with Ahpun volumes and eventually incorporating Kodiak field resources.”
David Hobbs, Pantheon’s executive chair, added, “We now have independent validation of all the contingent resources we are working to develop, including support for the commerciality of the Ahpun development. This will be the first onstream due to its proximity to the established pipeline and road infrastructure.”
“Validation of Pantheon’s natural gas resources is particularly valuable, as these resources enabled us to develop a strategic relationship with the State of Alaska, resulting in the Gas Sales Precedent Agreement. This agreement could potentially lead to a long-term take-or-pay arrangement, supporting the funding of our post-FID capital costs.”
“We will update the independent assessment of the Kodiak field to evaluate the economics of that development after drilling and testing the planned appraisal wells up-dip in the new acreage secured at the last two lease sales, subject to funding.”
Pantheon aims to make a final investment decision for field development “at the earliest possible date,” targeting first production by no later than 2028.
