Spudding of Andrews-1-17 Well West Bowlegs

Union Jack Oil PLC

11 March 2024

 

11 March 2024

Union Jack Oil plc

("Union Jack" or the "Company")

Spudding of Andrews-1-17 Well West Bowlegs Oklahoma, USA

Union Jack Oil plc (AIM: UJO), a UK and USA focused onshore hydrocarbon production, development and exploration company is pleased to announce, further to its announcement dated 6 February 2024, that the Company has been informed by the Operator, Reach Oil & Gas Company Inc ("Reach"), that a drilling contract has been signed with a local contractor, groundworks have been completed and a spud date on or around 20 March 2024 is anticipated in respect of the drilling of the Andrews-1-17 well to test the West Bowlegs Prospect, located in Seminole County, Oklahoma, USA.

Union Jack holds a 45% working interest in the Andrews-1-17 well.

·    Andrews-1-17 well has a geological chance of success estimated by the Operator to be 75%

·    Approximate ten-day drilling period to a depth of 5,200 feet

·    Completion time is swift; approximately eight days including perforating and flow-back if successful

The target for this well is the Hunton Limestone, one of the main hydrocarbon reservoirs in Oklahoma.  The Hunton Limestone is unconformably overlain by the main oil-prone source rock, the Woodford Shale and is in an excellent position for the migration of oil.  Oil-filled porosity is encountered within a basal Oolite limestone formation in wells within a mile of the first drill location for the Andrews-1-17 well and this is believed to be the main reservoir within West Bowlegs.

West Bowlegs is associated with a remnant of the Hunton Limestone and is expected to be at original pressure with the seal for the reservoir being the Woodford Shale and lateral seal against the underlying Sylvan Shale. 

Primary oil recovery is expected to be by solution gas drive with any gas recovered to surface being sold into the local network.   

Reach is an accredited operator in the USA, owning and operating oil and gas production facilities in Seminole and Pottawatomie Counties in Oklahoma.  All prospects are generated by Reach which owns modern seismic equipment, supplied by a UK based company Stryde Limited. 

David Bramhill, Executive Chairman, commented: "I am delighted to be able to announce the imminent spudding of our first drilling venture with Reach, in Seminole County, Oklahoma, USA.

"The Andrews-1-17 well has a high chance of success and if proven commercial could be in production within literally weeks from spudding.  Similar low-cost development wells nearby, typically produce initially at approximately 150 barrels of oil and over 200 thousand cubic feet of gas per day and can provide rapid pay-back within six months.

"The rate of progress from generating a drillable prospect, obtaining permission to drill and putting a rig onsite in Oklahoma is remarkable.

"I look forward to updating shareholders on drilling progress at the Andrews-1-17 well over the course of the next few weeks."

For further information, please contact the following:

Union Jack Oil plc                                                                                    [e-mail]

David Bramhill

Reach Oil & Gas Company Inc

Miles Newman                                                                                            [e-mail]

Jim McKenny                                                                                              [e-mail]

SP Angel Corporate Finance LLP                                                           [phone]

Nominated Adviser and Joint Broker

Matthew Johnson

Kasia Brzozowska

Caroline Rowe

Richard Hail

Shore Capital                                                                                             [phone]

Joint Broker

Toby Gibbs

Iain Sexton

Gneiss Energy Limited                                                                             [phone]

Financial Adviser

Jon Fitzpatrick

Paul Weidman

BlytheRay                                                                                                   [phone]

Financial PR

Tim Blythe

Megan Ray

 

END