Union Jack Oil plc said it had generated US$1 million net revenues since production restarted during August from the Wressle hydrocarbon development in North Lincolnshire.
PRODUCTION
The company added that the current daily production figures were far in excess of the targeted 500 barrels of oil per day from the Ashover Grit reservoir.
The well is producing under natural flow, clean up was continuing with the full potential yet to be achieved at the project within PEDL180 and PEDL182.
UJO said that Wressle production was highly profitable at current oil prices and that further development and production at Wressle could be achieved from the Wingfield Flags and Penistone Flags formations.
Gaffney Cline’s competent person’s report commissioned by UJO is still in progress.
PORTFOLIO
UJO executive chairman of David Bramhill said that the $1m revenues had been generated within a relatively short timeframe and were “financially transformational” for the company.
“Our acquisition of further interests in Wressle over the last couple of years from just 8.33% to being the major equity holder with 40% is now showing material results and gives us increased confidence that the company is set to deliver on its aim to become a self-sustainable entity in due course.
“Union Jack has four cash generating projects within its balanced portfolio and revenues for year end 2021 are guaranteed to eclipse those reported upon in 2020 and for the six months ended 30 June 2021.
“We believe that Wressle holds considerable further upside and we look forward to reporting on progress in due course.”