Union Jack Oil to acquire 60% stake in Sark well, Central Oklahoma

Union Jack Oil

Union Jack Oil plc (LON:UJO, OTCQB: UJOGF), a UK and USA focused onshore hydrocarbon, production, development, exploration and investment company, has announced that the Company has signed a farm-in agreement with Reach Oil and Gas Inc to acquire a 60% working interest (paying 80%) in the Sark well, planned to be drilled early Q3 2025, located in Central Oklahoma, USA.

·    3D supported Sark well will drill a dip and fault closed large structure of 156 acres area and 40 feet relief

·    Estimated recoverable resources of 1,440,000 barrels of oil gross

·    Cost to drill, complete and develop circa US$1,100,000 net, including back costs of $236,800

·    Estimated success case of NPV10% circa US$10,900,000 net, based on a US$65/bbl oil price

·    Counter-regional fault down to the east in the Graben formed by the Wilzetta Fault with structural closure at Arbuckle level with further upside potential of 1,500,000 barrels of oil gross

·    Hunton and 2nd Wilcox formations are the objective targets with Total Depth estimated at 5,500 feet

·    Secondary targets productive in the immediate area include the Prue Sands, Red Fork and Base Pennsylvanian Sands

·    Adjacent to an oilfield that produced circa 1,600,000 barrels of oil from the Hunton and 2nd Wilcox sands

·    Chance of Success of finding movable hydrocarbons in this robust, multiple target structure is 65%

Sark is an untested Hunton and Wilcox structure with two main and several secondary targets present, adjacent to a producing oilfield.  Closure exists throughout the prospective sequence beneath the 2nd Wilcox and the well will be drilled to the Arbuckle formation.

David Bramhill, Executive Chairman of Union Jack Oil, commented: “We are pleased to be able to announce a further agreement with our partners, Reach, on the high-impact Sark well that on success will be another material oil development project for Union Jack.

“Sark is the next welcome addition to our rapidly growing portfolio of activities in Oklahoma and follows the successful oil discovery at Moccasin where such play types are now designated a high chance of success.

“In just over 15 months the Company has drilled four consecutive discoveries and compiled a portfolio of what we believe to be dynamic projects, forming the foundations of a second valuable commercial business in the USA, complementing our sound and profit-making revenues from Wressle in the UK.

“The recent success at Moccasin has been a catalyst and Union Jack is now entering into a period of sustained activity in Oklahoma, where we have every reason to be confident following the Board`s decision to expand operations into the USA.”

We’ll keep you in the loop!

Join 1,000's of investors who read our articles first

We don’t spam! Read our privacy policy for more info.

Share on:
Find more news, interviews, share price & company profile here for:

Union Jack Oil to acquire 60% stake in Sark well, Central Oklahoma

Union Jack Oil has signed a farm-in agreement with Reach Oil and Gas to acquire a 60% working interest, paying 80%, in the Sark well planned for drilling in early Q3 2025 in Central Oklahoma, USA.

Union Jack Oil restarts production at Keddington Oilfield

Union Jack Oil plc has recommenced oil production at its Keddington Oilfield following major site upgrades in 2024 and 2025.

Union Jack Oil reports 2024 profit and expands US operations

Union Jack Oil plc reveals strong 2024 results, showcasing significant operational achievements and a profitable outlook for continued growth in the UK and USA.

Union Jack Oil reports positive testing results from Moccasin well

Union Jack Oil plc updates on the Moccasin 1-13 well in Oklahoma, confirming it as a commercial oil discovery with promising production rates and potential revenue growth.

Union Jack Oil Moccasin declared a commercial discovery

Union Jack Oil plc shares a promising commercial discovery in the Moccasin 1-13 well, Oklahoma, confirming its potential for significant oil production.

Union Jack Oil plc Positive update on Moccasin 1-13 Well, Oklahoma

Union Jack Oil plc (LON:UJO, OTCQB: UJOGF) reports promising developments at its Moccasin 1-13 well in Oklahoma, highlighting potential oil prospects.

Search

Search