Union Jack Oil’s half-year results arrived at a moment where steady onshore output meets the promise of a new growth horizon.
For the six months to June, revenues of £1.29 million compare with £2.34 million in the prior period, shaped by commodity price shifts and currency movements. Gross profit stood at £0.45 million, and a net loss of £0.49 million was recorded against last year’s £0.79 million profit. Even so, the company continues to carry no debt and holds net assets of £21.38 million, supported by a consistent royalty stream that returned 18% on investment. Average daily production of 149 barrels of oil equivalent, largely from Wressle and Keddington, demonstrates the strength of its onshore portfolio.
Union Jack has completed drilling at the Sark well in central Oklahoma, where it holds a 60% working interest. The well reached 5,391 feet and is targeting an estimated 1.44 million barrels of oil, with additional upside potential of a further 1.5 million barrels. Early indications are encouraging, with logs confirming hydrocarbons in the Prue interval and oil recovered during swabbing. Facilities are being installed and a 30-day flow test is due to begin in early October.
Union Jack Oil plc (LON:UJO) is an oil and gas company with a focus on onshore production, development, exploration and investment opportunities within the United Kingdom and the United States of America hydrocarbon sector.
