Pantheon Resources plc Regulatory News (PANR)

17 Oct 2006 09:01

Pantheon Resources PLC17 October 2006 October 17, 2006 PANTHEON RESOURCES PLC Natural Gas Encountered at Caddo Prospect The Board of Pantheon Resources plc ("Pantheon") is pleased to announce that theCaddo #1 exploration well has encountered natural gas. The Caddo #1 well wasdrilled to test an extensional prospect on the Matthews SE Field complex. It wastargeting two anomalies on the east flank of SE Matthews Field, Thomas Field,and Lissie Field in the Frio and Yegua sections at 4,000 feet ("ft") and 7,125ft respectively. Electric logs analyses and formation tests have now confirmed the presence ofsome five to eight ft of net natural gas pay in the shallower objective. As aresult of the positive log confirmation, the decision has been made to completethe well for production testing. The results of the production testing should becommunicated in the coming weeks. Caddo #1 was the fourth well to be drilled on Project Wharton, a farm-inconcluded in June 2006. Pantheon is paying 25% of the drilling costs to earn an18.75% working interest in Mohawk. Six additional prospects are located on the Caddo area of mutual interest ("AMI") which covers around 1,175 acres. The locations target comparable Yegua andFrio anomalies, but Miocene objectives are also present in all of them. Successin Caddo #1 would make these very attractive drilling targets. As these are notsubject to the farm-in terms, they would have a higher value to Pantheon. In accordance with the AIM Rules, the information in this report has beenreviewed and signed off by Mr Robert Rosenthal, (BSc Geology, MSc Geology),Technical Director at Pantheon Resources Plc, who has over 30 years relevantexperience within the sector. Contacts: Pantheon Resources PlcSue Graham, Chairman +44 20 7379 0118 Oriel Securities LimitedScott Richardson Brown +44 20 7710 7600 This information is provided by RNS The company news service from the London Stock Exchange