Pantheon Resources shares rose on Monday after the Alaska-focused oil and gas explorer released highly encouraging drill results from its North Alaskan Ahpun field.
The company said it has struck success with its Dubhe-1 appraisal well, discovering a hydrocarbon column significantly thicker than anticipated.
Pantheon Resources shares jumped over 15% as the firm revealed the primary target reservoir delivered 565 feet of hydrocarbon-bearing rock, 26% above pre-drill estimates of 450 feet.
The well, drilled to 12,833 feet, also uncovered additional oil and gas zones in previously unexplored horizons. These include the SMD-C formation and two Slope Fan systems, none of which were factored into Pantheon’s existing resource estimates of 282 million barrels and 804 billion cubic feet.
Beyond the primary discovery, the company identified hydrocarbon zones spanning 2,143 feet of total drilling depth across multiple formations. A 90-foot core sample achieved 100% recovery, providing crucial data for reservoir analysis.
Pantheon is now preparing to drill a horizontal sidetrack within the 565-foot thick primary reservoir to test production rates. The lateral drilling is set to begin within days, followed by hydraulic fracturing operations expected to be finalised over the next two months.
The company will present detailed findings at a September 9 webinar, including preliminary assessments of the newly discovered resources that could significantly expand development opportunities at the Ahpun field.
“We are delighted to announce the Dubhe-1 pilot hole results as a success. The well confirms the presence and quality of the oil and gas reservoirs in the Ahpun field, exceeding our pre-drill expectations,” said Erich Krumanocker, Chief Development Officer.
“We are now transitioning toward field development planning in support of capital efficient commercial production. The upside presented by the SMD-C and Slope Fan zones highlights the enormous potential in our portfolio.”