Spudding of Zebu

Pantheon Resources PLC
03 August 2006

PANTHEON RESOURCES PLC

First Well Spuds on Project Wharton Targeting Zebu Prospect

•    Pantheon's first well on Project Wharton spudded on July 31

•    Targeting the small Zebu prospect with potential reserves in a 0.5 to 1.6 
     billion cubic feet range

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

•    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 has now embarked on an aggressive exploration campaign with
     drilling of Zebu and Plum Deep underway

The Board of Pantheon Resources plc ('Pantheon') announces that it has been
informed by the operator, Everest Resource Company ('Everest'), that the Zebu #1
well spudded on July 31 2006. This well is located in Colorado County south
Texas.

The Zebu #1 well is targeting a seismic anomaly at 3,575 feet. This primary
objective has a conservative reserve potential of 0.5 billion cubic feet ('bcf')
and a high-side potential of 1.6 bcf. Zebu #1 also has additional potential to
find thinner Frio and Miocene reservoirs that do not produce seismic anomalies.
As the planned well depth is less than 5,000 feet, drilling time is scheduled to
be less than one month.

The Zebu prospect is on trend with prolific shallow producers.  Shallow Frio and
Miocene reservoirs in the immediate vicinity have produced as much as 7.9 bcf
with peak rates averaging 600 thousand cubic feet a day ('mcfd').  Everest has
drilled 14 exploratory wells in this area of Colorado County targeting Frio
seismic anomalies.  The Frio success rate has been 78.6% (11 out of 14).  The
Zebu #1 well is targeting a trough anomaly like the successful wells.

Zebu #1 is the first well to be drilled on Project Wharton, a farm-in concluded
with Everest in June 2006. The initial obligation covers three prospects which
are ready to drill. Pantheon is paying 12.5% to earn 9.375% interest in Zebu and
will pay 25% of the drilling costs to earn an 18.75% working interest in the
remaining two; Dakota and Mohawk. A further farm-in prospect is being evaluated.
The expected total dry hole cost outlay is around US$400,000 and the successful
completed total cost outlay is around US$650,000 for four wells. 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.

Each well has multiple objectives, not all of which were included in the
original evaluation. These provide additional upside potential. There is
additional reserve potential in both Frio and Miocene targets on the Zebu
leasehold.  A second anomaly is present at a slightly deeper objective, (4,280
feet) which might be tested with a second well.  The reserve range is estimated
at 0.4 to 1.28 bcf.

Success with any of these exploration wells comprising Project Wharton will lead
to numerous additional drilling opportunities within surrounding acreage. There
are another 13 prospects that could be pursued in the event of success which
would represent a material reserve addition to Pantheon. These are also regarded
as low risk with good early cash flow generation potential. These would not be
subject to the farm-in terms and hence have a higher value.

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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