LONDON - Pantheon Resources plc (AIM: PANR), an oil and gas company developing its Alaskan fields, announced a new Employee Stock Ownership Plan (ESOP) to replace all previous plans. The ESOP includes a Share Award Scheme for all employees and a Long-Term Incentive Plan (LTIP) for executive directors and certain officers, aimed at aligning interests with shareholders and reducing employee turnover.
Under the Share Award Scheme, employees can receive Restricted Stock Units (RSUs) equivalent to 25-33% of their base compensation, vesting over three years. The initial RSUs are priced at a slight premium to the October 22, 2024 closing share price, totaling 9,087,584 RSUs across staff, excluding Non-Executive Directors (NEDs). Annual grants are expected to follow each Annual General Meeting.
The LTIP for senior management involves out-of-the-money options with an exercise price nearly four times the October 22, 2024 closing share price. These options are subject to performance and time-based vesting conditions. Today, the company awarded options over 9,500,000 ordinary shares, with specific awards to Persons Discharging Managerial Responsibilities (PDMRs) detailed in the release.
The total initial awards under the ESOP amount to 18,587,584 shares, representing 1.64% of the current issued share capital. The total awards under the ESOP and past options in the last decade reach 6.1% of the newly reduced 10% total award limit.
The new incentive arrangements are designed to simplify previous schemes, incentivize talent, and reduce potential dilution. The previous share option-based incentive plan, adopted in 2009 and amended in 2014, has been retired. The ESOP follows the principles of the Main Market of the London Stock Exchange, where feasible.
The ESOP's flexibility allows for a range of awards, with the Remuneration Committee adopting a framework for both the Share Award Scheme and LTIP. NEDs do not participate in the ESOP but are committed to personal investment in the company.
Pantheon Resources, focused on its 100% owned Ahpun and Kodiak fields in Alaska, aims for sustainable market recognition of its resources. The company's proximity to existing infrastructure and low CO2 content of associated gas are seen as competitive advantages.
This news is based on a press release statement from Pantheon Resources.
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