With the West Newton – drilling presently underway – presents a significant potentially high impact opportunity for Union Jack who has a 16.665% interest in PEDL183.
West Newton A-1 gas discovery has a gross Best Estimate Contingent Resource of 189 billion cubic feet of gas equivalent within the Kirkham Abbey Shoal formation.
In addition, there is considerable upside potential from the lower, Cadeby Reef formation, oil exploration target underlying the gas reservoir, with a gross Best Estimate Prospective Resource of 79.1 million barrels of oil equivalent.
The West Newton A-2 appraisal well, targeting the Kirkham Abbey Shoal and Cadeby Reef formations for gas and oil respectively, was spudded on 26 April 2019. The well will be drilled to a total depth (“TD”) of approximately 2,061 metres below ground level and is expected to take circa 40 days to reach TD.
The current cash balance in excess of £2.5 million, as at 1 May 2019, the company is fully funded for all current drilling and testing requirements, debt free.
David Bramhill, Executive Chairman, commented, My confidence in respect of Union Jack’s future, since its incorporation, is at its optimum “The Company’s future remains bright. We like 10% -20% stakes, so if something goes wrong, you haven’t killed the company. And we don’t do 8:1 shot!
Union Jack’s strategy is to focus on what they consider to be near term drilling and production opportunities in the UK.
With an increased interest to 27.5% in the Wressle-1 oil discovery, the future looks bright for this small market UK focused onshore hydrocarbon production, development and exploration company.
Lets us not forget PEDL253, Biscathorpe-2 well, operators Egdone Resources missed the down dip target, Union Jack Oil has a meaningful 22% licence interest, the prospect – remains unappraised.
With the operators missed the target and drilling 2mt up-dip you would not be wrong in thinking that was it? Yet they discovered wet gas shows (up to NC5) derived from Oil column along with 500 feet of oil shows. What has been confirmed by Graham Bull UJO geologist with 48 years of international oil and gas industry exploration experience is a bigger trap is in place and they will be revisiting Biscathorpe-2
If anyone reads this article found it useful, helpful? Then please subscribe www.share-talk.com or follow SHARE TALK on our Twitter page for future updates.
Terms of Website Use
All information is provided on an as-is basis. Where we allow Bloggers to publish articles on our platform please note these are not our opinions or views and we have no affiliation with the companies mentioned