Union Jack signs further two Oklahoma farm-ins

Union Jack Oil plc has signed further two farm-ins, following the West Bowlegs deal, for projects in Oklahoma, USA.

WILZETTA FAULT

The first is to acquire a 75% working interest in a well planned to be drilled in a high impcat well in Q3 2024, to test the Footwall Fold prospect in the Wilzetta Fault play and in an area of associated interest.

Drilling to a depth of 6,000ft will also test the deeper structure beneath the main target. Estimated recoverable oil is in excess of 200,000 barrels with a geological success chance of 35%.

Union Jack said that the Wilzetta Fault plays were the site of numerous oilfields across central Oklahoma with nearby analogous production.

The company’s planned and back costs are US$277,000 and drilling and completion of the well are approximately US$1 million net.

Union Jack will pay costs of further wells based on its 75% working interest from exisiting cash resources.

The second farm-in, for a 37.5% working interest in a 2D and 3D seismic acquisition programme, will identify additional prospects for drilling along the Wilzetta Fault, located in Pottawatomie and Lincoln Counties.

Union Jack will pay 50% of the 2D and 3D programme of $280,000 from existing cash to earn a 37.5% working interest in any prospects generated.

Both agreements are with the company’s previously appointed adviser, agent and operator Reach Oil & Gas Inc.  

Executive chairman David Bramhill added that typical wells drilled on the Wilzetta Fault could produce approximately 250 barrels of oil a day providing pay-back within three months.

“The board is delivering on its aims of identifying and introducing potential new growth opportunities in a welcoming jurisdiction, that is highly prospective, has existing operations and infrastructure accompanied with an attractive fiscal environment, to complement the company’s already successful and profitable production activities in the UK.”