In January 2019 Pantheon acquired the assets of Great Bear Petroleum ("GBP"), a focused Alaskan North Slope (“ANS”) oil and gas company.
The ANS hosts the largest conventional oil and gas accumulations in North America. GBP has been operating on the ANS for almost a decade and has invested over US$200m in evaluating the exploratory potential in its core area. The ANS is experiencing an exploration revival and now boasts among the largest recent conventional onshore oil discoveries made anywhere in the world. These discoveries all tested high production rates of good quality light oil from conventional reservoirs. Drilling by GBP and adjoining operators has highlighted the prospectivity of GBP’s acreage as offering billions of barrels of oil potential in stacked conventional targets across multiple geological plays.
GBP is a large exploration leaseholder where it controls over 250,000 acres, most of it contiguous, south of the giant Prudhoe Bay and Kuparuk oil fields which are the largest oil fields in North America. This acreage is covered by 3D seismic and contains several existing discoveries and a host of world class exploration prospects. With the exception of the Winx prospect where it has a 10% working interest, Pantheon’s working interest in all other acreage in Alaska is between 75% and 90%.
Apart from being a proven prolific oil province, GBP’s acreage position is operationally advantaged by the Trans-Alaska Pipeline System (“TAPS”) and the Dalton Highway which both pass through GBP’s leasehold enhancing near term commercialization opportunities. Such close proximity to infrastructure provides Pantheon with a significant competitive advantage versus other Operators, with lower development and production costs and more rapid commercialization opportunities, believed to result in higher per barrel NPV’s.
In March 2019 Pantheon announced its Alkaid well to be a discovery in the Brookian zone of interest, following successful flow testing which exceeded expectations. This was an excellent result for Pantheon, with positive implications for Pantheon’s other Brookian prospects, in particular upgrading the adjacent and analogous Phecda prospect.