REG - Union Jack Oil PLC - West Newton Update - PEDL183

Union Jack OilAnnouncement

27/09/2023 07:00

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RNS Number : 7539N  Union Jack Oil PLC  27 September 2023

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR.

 

27 September 2023

Union Jack Oil plc

("Union Jack" or the "Company")

West Newton Update - PEDL183

 

Union Jack Oil plc (AIM: UJO) a UK focused onshore hydrocarbon production,
development and exploration company is pleased to provide an update on West
Newton PEDL183, in which the Company holds a 16.665% economic interest.

The Company has been informed that the Environment Agency has issued the
variation of the permit for the West Newton B wellsite, which allows for the
use of oil-based fluids within the Permian formations during drilling and
testing operations.

Independent technical studies have clearly demonstrated that the use of
oil-based drilling fluids will be a key factor in enhancing flow rates from
wells drilled in the West Newton field.

Plans for the proposed horizontal well from the West Newton B site are
underway and commencement of operations is targeted for H1 2024.

Well path selection and the engineered design have been completed, wellbore
casing has been purchased and the Operator, Rathlin Energy (UK) Limited, has
approached drilling rig and other key service contractors to determine their
availability.

As announced on 29 September 2022, the Competent Person's Report on West
Newton indicated gross 2C unrisked technically recoverable resources of 197.6
bcf of sales gas, with an estimated 85.5% geological chance of success.

Union Jack is fully funded for the drilling and testing of the horizontal
well.

 

David Bramhill, Executive Chairman of Union Jack commented: "A future West
Newton development will benefit from being located in an area that provides
access to substantial regional infrastructure and could deliver significant
volumes of on-shore low-carbon sales gas into the UK's energy market.

"Domestically produced natural gas will remain a much-needed part of the
energy mix, as the UK seeks to reduce its reliance on imported products.

"Union Jack looks forward to the drilling of a 1,500 metre horizontal well and
unlocking the significant potential of the West Newton project."

 

 

For further information, please contact:

 

 Union Jack Oil plc                                                                                                                                                                     info@unionjackoil.com

 David Bramhill

 SP Angel Corporate Finance LLP                                                                                                                                                         +44 (0)20 3470 0470

 Nominated Adviser and Joint Broker

 Matthew Johnson

 Richard Hail

 Kasia Brzozowska

 Shore Capital Stockbrokers Limited                                                                                                                                                     +44 (0)20 7408 4090

 Joint Broker

 Toby Gibbs

 Iain
 Sexton

 

 

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