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Union Jack Oil PLC on Monday said it has achieved revenue of over $18.0 million at its Wressle hydrocarbon development since production restarted in August 2021. The UK-focused onshore hydrocarbon production, development has a 40% interest in the development located within licences PEDL180 and PEDL182 in North Lincolnshire on the western margin of the Humber basin, England. Shares were up 5.2% to 20.77 pence each in London on Monday late morning. Union Jack said Wressle-1 well gross production currently averages a constrained 665 barrels of oil per day, as the operator continues to evaluate the reservoir response to increased pump rates. It said continues to be cash flow positive covering all planned general and administrative expenses, operating expenditure and capital expenditure liabilities. It also said it is debt-free and remains ‘highly cash generative’. ‘The $18.0 million net revenues achieved to date from Wressle continue to bolster the company’s balance Sheet, complemented by additional cash-flow from the Keddington oilfield (55% [interest]). Going forward, future production and revenue updates from Wressle will be reported on a quarterly basis,’ said Executive Chair David Bramhill. ‘The Wressle-1 well has responded favourably to the new jet pump rate. The engineers may decide to further increase these rates whilst the well performance is continually being optimised to maximise oil recovery volumes. The recently announced 263% increase in 2P reserves has led to a material upgrade in value of the Wressle development and we look forward to reporting on further progress at our flagship project.’ Copyright 2024 Alliance News Ltd. All Rights Reserved.
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