Pantheon Resources losses widen as development continues

(Sharecast News) - Pantheon Resources, an oil and gas developer focused on the Kodiak and Ahpun oil fields on Alaska's North Slope, reported a total comprehensive loss of $11.6m for the year ended 30 June on Monday, widening from $4.6m a year earlier, primarily due to non-cash items. The AIM-traded firm said it reduced its convertible loan balance to $17.2m as of 9 December, with a further reduction to $14.7m expected by 13 December.

Cash and cash equivalents stood at $7.9m at year-end on 30 June, but rose to $23.7m by 9 December, supporting ongoing operations at the Megrez-1 well.

Operationally, Pantheon received three independent expert reports certifying around 1.6 billion barrels of ANS crude and 6.6 trillion cubic feet of natural gas.

The company outlined a refreshed corporate strategy, aiming for financial self-sufficiency and market recognition of $5 to $10 per barrel of recoverable resources by 2028.

It also signed a gas sales agreement with Alaska Gasline Development Corporation (AGDC) for the Alaska LNG project and progressed environmental and engineering preparations for a hot-tap connection to the Trans-Alaska Pipeline System (TAPS).

The company's board was strengthened with the appointment of two independent non-executive directors.

Other milestones included acquiring 66,000 additional acres of leases in December last year, and spudding the Megrez-1 well on the Ahpun, Eastern Topset.

Pantheon said it remained focussed on unlocking value from its Alaska projects while advancing key infrastructure and strategic partnerships to support long-term development.

"The past 18 months have seen extraordinary progress in three key areas," said executive chairman David Hobbs.

"We received independent validation of the company's contingent resources base at 1.6 billion barrels of ANS crude."

Hobbs added that the company funded, and was executing, the Megrez-1 well programme, with potential to add up to a further 40% to the overall resource base.

"We secured a path to potential monetisation of the 6.6 trillion cubic feet of natural gas in a way that may support the development capital needs from Ahpun FID."

At 0832 GMT, shares in Pantheon Resources were down 0.26% at 23.89p.

Reporting by Josh White for Sharecast.com.