US$7 Million Net Revenues Reached at Wressle

RNS Number : 3676P

Union Jack Oil PLC

20 June 2022

 

20 June 2022

Union Jack Oil plc

("Union Jack" or the "Company")

US$7,000,000 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$7,000,000 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.

Highlights

· Landmark US$7,000,000 revenues generated to Union Jack since re-commencement of production on 19 August 2021

· Current daily production figures continue to be an average constrained flow-rate of 750 barrels of oil per day ("bopd"), well in-excess of the prognosed 500 bopd from the Ashover Grit reservoir

· 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 budgeted drilling activities for at least the next 12 months

· At 20 June 2022, cash balances and short term receivables stood at in-excess of £8,400,000

· Union Jack expects to report a maiden profit for the forthcoming unaudited half year results ending 30 June 2022

· Debt free

Executive Chairman of Union Jack, David Bramhill, commented: " The ongoing excellent operational and financial performance at Wressle continues to bolster the Company's cash position, balance sheet and income statement. 

"Net revenues from Wressle have now exceeded US$7,000,000 and, as a result of this exceptional performance, plus revenue contributions from the Keddington oilfield, the Fiskerton Airfield oilfield and North Sea Royalties

"The Board now expects to report a maiden profit in the forthcoming unaudited half year results ending 30 June 2022".

For further information, please contact                

Union Jack Oil plc  [e-mail]

David Bramhill

 SP Angel Corporate Finance LLP                                                                   [phone]

Nominated Adviser and Broker

Matthew Johnson

Richard Hail

Caroline Rowe

 

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