Pancontinental Boosts Saturn Complex Oil Prospects to 4 Billion Barrels

Upgraded Resource Estimates Signal Growing Potential

Pancontinental Energy NL (ASX – PCL) has delivered a significant boost to its exploration narrative with an upgraded estimate of prospective oil resources at its Saturn Complex in Namibia’s PEL 87 permit. The company now reports a high case prospective resource of 4 billion barrels of oil net to Pancontinental, reflecting enhanced confidence from recent basin modelling and seismic interpretation studies.

This upgrade follows a detailed basin modelling study that confirmed the Saturn Complex targets are ideally positioned to receive direct oil charge from the prolific Kudu Shale source kitchen beneath. The Kudu Shale, proven in the Moosehead-1X well, is a thick marine oil shale formation with high organic content, widely mapped across the permit area. The modelling suggests the Saturn Complex has been charged by approximately 20 billion barrels of oil generated and expelled from this source, requiring only limited migration to accumulate.

Seismic Analysis Supports Reservoir Quality and Fluid Type

Complementing the basin modelling, Pancontinental engaged a specialist to conduct a Quantitative Interpretation (QI) study of seismic amplitude versus offset (AVO) anomalies. The study indicates a high net-to-gross reservoir system coincident with these anomalies and suggests the presence of a low gas-oil-ratio (GOR) oil within the Saturn Complex. This fluid characteristic is favourable compared to other regional discoveries with higher associated gas, potentially easing future development challenges.

Alongside Saturn, the Oryx prospect has also seen an upgrade, with best case prospective resources rising to 815 million barrels net and a high case of 1.9 billion barrels. The geological chance of success for Oryx has improved to 26.2%, reflecting the integration of previously separate leads into a single drillable target.

Advancing Toward Exploration Drilling

Pancontinental has commenced the Environmental Impact Assessment (EIA) process to support future exploration drilling approvals within PEL 87. This critical step underscores the company’s commitment to progressing its exploration program responsibly and in compliance with regulatory requirements.

The farmout process for PEL 87, initiated in March 2025, remains active with ongoing engagement from interested parties. The recent technical updates, including the QI study results, have enhanced the attractiveness of the permit, potentially accelerating partnership formation and funding for drilling activities.

Regional Exploration Momentum

Pancontinental’s progress is set against a backdrop of encouraging exploration results in Namibia’s Orange Basin. Nearby, Azule Energy (a BP/ENI joint venture) announced a light oil discovery at Capricornus-1X with strong flow rates and high-quality oil. Galp Energia has also reported maiden contingent resources at the Mopane Complex, further validating the basin’s prospectivity. These developments add positive context to Pancontinental’s exploration targets and may attract further industry interest.

Financially, Pancontinental ended the quarter with $2.5 million in cash and has since received approximately $200,000 from option exercises, providing modest funding as it advances its exploration agenda.