Union Jack Oil has made impressive strides in the US market in 2024, marking a year where the company’s success is catching the attention of investors. The partnership with Reach Oil and Gas is proving to be a perfect fit, and as more wells are developed, this collaboration is set to grow stronger, with the pace of progress expected to surpass anything seen in the UK.
The company’s recent operations at the Taylor well have targeted the Hunton Limestone, but during the process, two other potentially valuable formations were also identified: the Cromwell Sand and the Misener Sand. The Cromwell Sandstone is renowned for its prolific oil and gas production in the Arkoma Basin, an area extending from central-west Arkansas to southeastern Oklahoma. Historical data shows the potential of these formations, with the Bruner well, drilled in 1923, producing 312 barrels of oil per day. The following year, the Stidham well set an even higher benchmark, producing 4,000 barrels per day, leading to over 62,000 barrels from 75 wells within just 12 months. Since its discovery, more than 120 million barrels of oil have been recovered, with further estimates suggesting another 20 to 30 million barrels could still be extracted.
The Misener formation, typically producing between 100 and 160 barrels of oil per day, also holds significant promise, with a recovery rate of up to 60% of oil in place. With the Taylor well’s secondary intervals still under evaluation, the potential for further growth is undeniable, bringing exciting prospects for Union Jack’s shareholders.
Despite initial scepticism about the company’s move into the US market, Union Jack has proven its worth. The success of their Wressle field continues to generate substantial revenue, which is financing their ongoing drilling programme. As the company outpaces its peers, many believe that 2025 could be the year Union Jack Oil enters the mid-tier ranks, solidifying its position as a key player in the industry.
Union Jack Oil’s operations in the US are proving to be highly promising, with strong partnerships and an exciting future ahead.
