Spudding of Mohawk prospect

Pantheon Resources PLC
03 October 2006


October 3, 2006

PANTHEON RESOURCES PLC

Third Well Spuds on Project Wharton Targeting Mohawk Prospect

•   Pantheon's third well on Project Wharton spudded on September 29, 2006

•   Targeting the Mohawk prospect with potential reserves in a 0.5 to 2.24
    billion cubic feet range

•   Well projected to take less than one month to drill on trouble-free basis

•   Pantheon is paying 25% of the drilling costs to earn an 18.75% working
    interest in Mohawk

•   Good potential for early, tax efficient cash flow generation. Payback
    per well projected at less than 12 months

•   Low risk exploration complements the Padre Island drilling programme

•   Pantheon is conducting an aggressive exploration campaign on both Padre
    Island and Project Wharton

The Board of Pantheon Resources plc ('Pantheon') announces that it has been
informed by the operator, Everest Resource Company ('Everest'), that the Mohawk
#1 well spudded on September 29, 2006. This well is located in Wharton County
south Texas.

The Mohawk #1 well is testing an extensional prospect in the Chesterville Field
complex. It is targeting a Frio amplitude anomaly at 4,100 feet ('ft'). The
prospect being targeted by the Mohawk #1 well is considered very low risk with
conservative reserve potential of 0.5 billion cubic feet ('bcf') and high side
reserve potential of 2.24 bcf. Two wells would be required to produce any
discovery. In addition to the Frio anomaly, the proposed well will also test
weaker Frio anomalies at 3,660 ft and 3,900ft. These weaker events compare
favourably with anomalies from thinner pay zones in offset wells. As the planned
well depth is 5,000 ft, drilling time is scheduled to be less than one month.

The anomaly being targeted by the Mohawk #1 well is in the same stratigraphic
interval which is producing in the Samson Chesterville GU #14 well. This zone
averaged around one million cubic feet a day ('mmcfd') for three years before
beginning to decline.

In addition to the Frio anomalies, this well might encounter other pay zones in
the Frio, and Miocene sections. Non-anomaly associated pay in the Miocene and
Frio increase the high side reserve potential. A second Mohawk prospect is
located on the leasehold. The Mohawk #2 will test a slightly smaller amplitude
anomaly (30 acres) at 4,075 ft that is very similar to, but fault separated from
the Mohawk #1 and Samson Chesterville #14 anomalies. As this is not subject to
the farm-in terms, it would have a higher value to Pantheon, if successful.

Mohawk #1 is the third well to be drilled on Project Wharton, a farm-in
concluded with Everest in June 2006. Pantheon is paying 25% of the drilling
costs to earn an 18.75% working interest in Mohawk. In the event of success,
there is easy access to infrastructure.

This project provides Pantheon with low risk/reward plays to balance the higher
risk/reward plays at the PI Project Area. Overall exploration risk for the
Project Wharton prospects is regarded as low, ranging from 50% to 80%. This
compares with 15% to 36% for the deep JV of the PI Project Area.

In accordance with the AIM Rules, the information in this report has been
reviewed and signed off by Mr Robert Rosenthal, (BSc Geology, MSc Geology),
Technical Director at Pantheon Resources Plc, who has over 30 years relevant
experience within the sector.

Contacts:

  Pantheon Resources Plc
  Sue Graham, Chairman                     [phone]

  Oriel Securities Limited
  Scott Richardson Brown                   [phone]








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