JKT Reclamation Facility Operations Update

ADM Energy PLC

14 November 2024

 

14 November 2024

ADM Energy PLC

("ADM" or the "Company")

JKT Reclamation Facility Operations Update

ADM Energy PLC (AIM: ADME; BER and FSE: P4JC), a natural resource investing company, is pleased to provide the following update with respect to operations of JKT Reclamation, LLC ("JKT"), the revenue and cash flow generating oil reclamation business in which the Company owns a 30.6% economic interest.

As of 19 September 2024 operations recommended at JKT's Wilson, Oklahoma site following completion of certain facility maintenance and upgrade projects, with the first post-restart load of 174.1 gross barrels sold on 23 September 2024. From re-start of operations through 31 October 2024 approximately 1,042 gross barrels of oil have been sold by JKT.

The Company announced on the 5 July 2024 that production at JKT's Wilson, Oklahoma site was halted in order for the installation of its 550-barrel capacity mixing tank and additional separation and heating equipment to take place. Whilst production was paused, JKT took the opportunity to reevaluate the efficacy of the production line, address legacy issues, and make further amendments to the site. This included: the installation of the mixing tank and pumps; the clean-out of storage/sales tanks to avoid contaminating sale-able product; the addition of vertical and horizontal separation equipment; the addition of a vertical heater-treater; the installation of metering and chemical injection equipment; and the reconfiguration of oil tanks to help improve the efficiency of process.

	Feb 2024	Mar 2024	Apr 2024	May 2024	June 2024	July 2024	Aug 2024	Sep 2024	Oct 2024
Gross Oil Volume Produced (bbls)	944	1,475	1,031	1,212	367*	-*	-*	174*	868

Table 1 - Summary of JKT produced oil volumes

* indicates months where production at the site had been partially or fully halted for the completion of works to take place

The total costs of the works carried out was approximately US$100,000 and was paid for from cash available to JKT from previous operations and a US$50,000 loan to JKT from a private third-party investor. US$30,600  of the total was attributable to ADM USA.

Commenting on the developments related to JKT, Stefan Olivier, CEO, stated: "We are very pleased with the re-start of operations at the Wilson facility and the expectation of increasing sales volumes and renewed distributions to ADM in coming months."

Market Abuse Regulation (MAR) Disclosure

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ('MAR'). Upon the publication of this announcement via Regulatory Information Service ('RIS'), this inside information is now considered to be in the public domain.

Enquiries:

ADM Energy plc	[phone]
Stefan Olivier, Chief Executive Officer
www.admenergyplc.com
Cairn Financial Advisers LLP	[phone]
(Nominated Adviser)
Jo Turner, James Caithie, Ed Downes
ODDO BHF Corporates & Markets AG	[phone]
(Designated Sponsor)
Michael B. Thiriot
Gracechurch Group	[phone]
(Financial PR)
Harry Chathli, Alexis Gore, Henry Gamble

About ADM Energy PLC

ADM Energy PLC (AIM: ADME; BER and FSE: P4JC) is a natural resources investing company with investments including a 100% interest in Vega Oil and Gas; a 30.6% economic interest in JKT Reclamation, LLC; a 46.8% economic interest in OFX Technologies, LLC (www.ofxtechnologies.com); and a 9.2% profit interest in the Aje Field, part of OML 113, which covers an area of 835km² offshore Nigeria. Aje has multiple oil, gas, and gas condensate reservoirs in the Turonian, Cenomanian and Albian sandstones with five wells drilled to date.   

About JKT Reclamation LLC

JKT Reclamation is the owner of a 20-acre facility in Wilson, Oklahoma with fixed assets including a workshop and office structure, ten 410-barrel storage tanks and other related separation and material handling equipment. In addition to the property, plant and equipment, other assets include two proprietary chemical formulae with additional potential commercial applications.

Forward Looking Statements

Certain statements in this announcement are, or may be deemed to be, forward-looking statements. Forward looking statements are identified by their use of terms and phrases such as "believe", "could", "should", "envisage'', "estimate", "intend", "may", "plan", "potentially", "expect", "will" or the negative of those, variations or comparable expressions, including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward-looking statements reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors. 

 

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