24th Jun 2019 11:12
(Alliance News) - Pantheon Resources PLC on Monday said it has entered into a services agreement with eSeis Inc to secure assistance with processing, analysis and interpretation of geophysical data from its Alaskan projects in order to start the farm-out process.
eSeis is a specialist in high-tech geophysics and seismic petrophysics, Pantheon explained.
Pantheon is working with eSeis to prepare its data room to formerly commence the farm-out process. The AIM-listed firm said it will seek a material up-front cash contribution towards sunk cost from any potential partner and expects the potential partner to fund some or all of a specified number of future wells in order to earn their working interest.
The oil & gas exploration company said it is aiming to formally open the data room in July with the firm objective of achieving drilling on the Alaskan north slope in the winter.
Pantheon expects to drill one well at the Talitha project and a minimum of one well drilled at Alkaid/Phecda in the 2019/2020 drilling season.
eSeis will undertake the work for a "heavily discounted rate", Pantheon said, which it estimates to be a savings of between USD1.5 million to USD2 million to Pantheon, in exchange for a 1% royalty interest.
"The eSeis contract is a fantastic outcome, and indeed endorsement, for Pantheon shareholders that opinion leaders in our industry see the value of our project," said Pantheon Chief Executive Jay Cheatham.
"I am also pleased to report the permitting efforts for the Alkaid project are well underway and we look forward to updating shareholders in due course," added Cheatham.
Pantheon shares were trading 2.0% higher on Monday at 20.65 pence each.
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