Union Jack Oil PLC (LON:UJO) Executive Chairman David Bramhill caught up with DirectorsTalk for an exclusive interview to discuss their Fiskerton and Wressle update
Q1: David, we saw an update this morning that covers a number of points, can you talk us through the highlights?
A1: Our aim at Union Jack Oil is essentially to become a cash producing company making money for shareholders and it’s not easy, anyone involved in any company will tell you nothing is easy, never was, never will be so we take opportunities when we can.
Fiskerton looked really really good, we’ve had our eye on that for about 2.5 years now and Egdon shared some of their stake when they bought it with us. Really pleased we’ve done the workovers, it was doing 16 barrels a day and it’s just nudging 30 now, lots of work still to be done, this is just the beginning. These wells, they pump water then you see the oil come through with water then gradually the water cut drops then you see the oil, this is what happens, there’s a lot known about these wells so we’re more than happy.
So, it all adds, we’ve got a 20% stake in Keddington which is in production so it all adds, it all helps us but of course Wressle in the jewel in the crown for us.
Q2: How confident are you on a successful outcome on the Wressle field development application?
A2: We have to be confident, we’ve had a couple of stabs at this with the application and the appeal, questions were raised on ground water, this sort of thing, the safety on site, we need, or Egdon need to prove that everything is on site is done properly which we know it us. We’ve drilled some boreholes, as we mentioned, we’ve done some ground water boreholes to prove exactly what’s under the ground and would be impervious, we’re waiting on results on that, I’ve seen with my eyes, I’ve been up there working away, looks pretty good to me, a very good seal by the look of it.
So, hopefully, next time around we’ll be able to demonstrate what should have been demonstrated a long time ago.
Q3: You recently formed a relationship with Humber Oil and Gas Limited and that you’re reviewing further joint acquisitions together, what more can you tell us about that?
A3: The management of Humber actually have bought 10% of Union Jack Oil via a fund in Jersey and they approached us and said we like the stuff you’re doing apart from being an investor, we’d like to become hands-on. So, we introduced them to Egdon and obviously we’ve got the Biscathorpe well that’s going to be drilled mid-year and they’ve taken an interest in that well.
In this game, you need some like-minded individuals to be supportive, we support them, they support us and effectively, any deal that comes along we show them and so far, so good. They’ve got themselves biting into a really nice deal with Biscathorpe, great prospect to be drilled, if that comes in it’ll change bother companies obviously. So, a lovely relationship, nice people.