June 4 (Reuters) - Pantheon Resources ( PTHRF ) said on

Tuesday it had signed an agreement establishing the terms for

future sales of its natural gas to a unit of state-backed Alaska

Gasline Development Corporation.

Pantheon subsidiary Great Bear Pantheon entered the

agreement with a unit of AGDC to outline key commercial terms

that will be part of a binding "take-or-pay" deal after AGDC

makes a final investment decision (FID) on a proposed pipeline

from Alaska's North Slope to its Southcentral region.

The pipeline FID is currently planned for the middle of

2025.

The agreement details plans for Pantheon to supply AGDC with

up to 500 million cubic feet per day of natural gas at a maximum

price of $1 per million British Thermal Units (BTU) in current

currency values, the company said. The agreement will have an

initial length of 20 years with the potential for extension

beyond that, it added.

AGDC is a state-owned company developing the Alaska LNG

project, a federally approved liquefied natural gas (LNG) export

plant that could export around 20 million metric tons of LNG per

year starting 2029. Development of the North Slope to

Southcentral pipeline is the first phase of that project.

Pantheon is developing the Ahpun and Kodiak fields in

Alaska, which are estimated to hold close to 5 billion cubic

feet of recoverable natural gas resources, according to the

company.

A final gas sales agreement between AGDC and Pantheon will

depend on the companies making FIDs on both their respective

projects, Pantheon said.