The oilmans latest on PANR

Pantheon Resources (PANR.L PTHRF P3K.F) announced results of the recent independent expert report by Cawley Gillespie & Associates. This completes the independent estimates for the company's aggregate resources from the Kodiak field, Ahpun western topsets and Alkaid horizon resulting in totals exceeding 1.5 billion barrels of ANS Crude and 6.5 trillion cubic feet of associated gas. As with Lee Keeling & Associates which recently updated its IER on the Alkaid horizon of the Ahpun field, CGA has evaluated the economics of the best estimate or 2C case. Based on an ANS Crude price of $80 per barrel delivered to the US West Coast, CGA estimates the net present value of the total contingent resources in the western topsets in the Ahpun field using a discount rate of 10% at $1.74 billion. Pantheon states it is targeting final investment decision at the earliest possible date subject to regulatory consents, but in any case to allow first production no later than 2028. Subsequent news was of a $3.36 million private placement to two existing long term shareholders at $0.364 per share. The funding strategy was also addressed and the Gas Sales Precedent Agreement is said to open a potential path to funding to long term funding of post Ahpun first investment decision expenditures without further equity dilution. In the interim, the company estimates the funding up until the point of Ahpun FID is in the range $60 - $85 million. This includes US IPO preparation costs, hot-tap into the TAPS pipeline and the cost of drilling and testing the planned Megrez-1 well to assess the Ahpun East project area which the company estimates to contain a prospective resource of c. 609 million barrels of marketable liquids. The upper end of the cost range also includes the cost of drilling and testing an additional Ahpun appraisal well if required. Funding options presently under consideration include farm-out, equity, debt, hybrid and a US listing targeted for 2025. Pantheon believes a US listing is an important step into providing greater access to the US institutional investment community, and to enhance market depth and liquidity in the company's shares. I spoke with David Hobbs, Executive Chairman, last week and it sounds like he can pull this off…more