RNS Number : 5177T

Union Jack Oil PLC

25 July 2022

25 July 2022

Union Jack Oil plc

("Union Jack" or the "Company")

US$8,000,000 Net Revenues Landmark Reached at Wressle

Union Jack Oil plc (AIM: UJO) a UK focused onshore hydrocarbon production, development and exploration company, is pleased to announce that material landmark net revenues of US$8,000,000 have been achieved from the Wressle hydrocarbon development ("Wressle"), located within licences PEDL180 and PEDL182 in North Lincolnshire on the western margin of the Humber Basin.

Union Jack holds a 40% economic interest in this development.


-- Landmark US$8,000,000 revenues generated to Union Jack since re-commencement of production on 19 August 2021

   --    Well continues to produce under natural flow with zero water cut 

-- Union Jack continues to be cash flow positive covering all G&A, OPEX and contracted or planned CAPEX costs, including any drilling activities for at least the next 12 months

   --    At 24 July 2022, cash balances and short term receivables stood at over GBP9,150,000 

-- Union Jack confirms a maiden profit to be posted for the unaudited half year period ended 30 June 2022

-- To date, due to Union Jack's current capital expenditure programme, the recently introduced Energy Profits Levy of 25% is not expected to be material to the Company

   --    Debt free 

Executive Chairman of Union Jack, David Bramhill, commented: " The revenues of in-excess of US$8,000,000 from the Wressle development continue to bolster the Company's Balance Sheet.

"Since the last production update published during June 2022, another impressive production performance from the Wressle-1 well has been recorded and the trend remains positive.

"Cash balances are expanding significantly on a monthly basis, and we are funded for G&A, OPEX and contracted or planned CAPEX costs, including any drilling activities for at least the next 12 months.

"The Gaffney Cline report continues to be updated and upgraded to reflect increased production rates and also incorporate other ongoing positive reservoir modelling and production profiling exercises into its final analysis.

"Since Gaffney Cline commenced their report, oil production at Wressle has increased by circa 45% and, accordingly their report is being updated to reflect these new positive developments and is now using a reference date of 30 June 2022.

"In addition, Gaffney Cline are compiling three illustrative production scenarios for the Wressle oilfield, indicating average oil production plateaus for the low, medium and high cases, showing the conceptual production curves in each case for the remaining planning period of 13 years.

"Gaffney Cline have also been instructed to comment on any possible untapped resources at the Wressle-1 well that may be present. The report is currently being finalised and the results will be announced in due course."

For further information, please contact

Union Jack Oil plc


David Bramhill

SP Angel Corporate Finance LLP +44 (0)20 3470 0470

Nominated Adviser and Broker

Matthew Johnson

Richard Hail

Caroline Rowe

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.



(END) Dow Jones Newswires

July 25, 2022 02:00 ET (06:00 GMT)

Union Jack Oil (LSE:UJO)
Historical Stock Chart
From Aug 2022 to Sep 2022 Click Here for more Union Jack Oil Charts.
Union Jack Oil (LSE:UJO)
Historical Stock Chart
From Sep 2021 to Sep 2022 Click Here for more Union Jack Oil Charts.