LONDON (ShareCast) - (ShareCast News) - Oil and gas exploration company Pantheon Resources announced the completion of drilling activities, and planned flow testing, at VOBM#3 well, Polk County, onshore East Texas on Tuesday.
The AIM-traded firm, which has a 58% working interest in the well, confirmed that the operator has drilled the VOBM#3 well to a total depth of 14,500 feet and will pursue a vertical completion.

Data from electronic logs indicate the presence of hydrocarbons in a potentially significant reservoir in the primary target, the Eagle Ford/Woodbine sandstone.

The board said it stresses that the significance of the results cannot be accurately assessed until flow testing operations have been undertaken.

Natural gas shows were also encountered when passing through the Austin Chalk formation, the board added.

It said drilling operations with the rig had now been completed and the wellbore is presently being cased.

The rig will now be cleaned and relocated to the next planned location in Tyler County, and a lower cost workover rig will be contracted to undertake completion and flow testing of VOBM#3.

"I am very pleased with this result for a number of reasons," said CEO Jay Cheatham.

"Firstly, the VOBM#3 well was drilled on time and on budget, confirming that in a vertical configuration these wells can be drilled efficiently."

Cheatham said they have now drilled four wells in the programme, all of which have encountered potentially significant hydrocarbons within the target horizon.

"Finally, this latest success means that, once flow testing on VOBM#3 has been completed, we will be in a position to finalise the gas processing facility arrangements and bring both VOBM#1 and VOBM#3 onto production thereafter."

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