Union Jack Oil plc anticipates restarting production at the Keddington oil field, located in Lincolnshire’s East Lindsey district, in late 2024. The company, which holds a 55% stake in Keddington while Egdon Resources (UK) Ltd owns the remaining 45%, has indicated that improvement works at the site are making good progress.
In other parts of the UK, net revenue profits from the Wressle joint venture have now reached over US$21 million (£16 million). Union Jack described the upcoming phase of this onshore project as being “the most productive” stage in its development, signalling optimism about future returns.
Turning to its investments in the United States, Union Jack has announced drilling is set to start around 31 October at the recently acquired Taylor-1 well in Seminole County, Oklahoma. Taylor-1 marks the company’s third well in the US, following the earlier drilling of Andrews 1-17 and 2-17 this year. Plans are also in place to commence drilling at the Moccasin well promptly after Taylor-1. The company holds a 45% interest in both wells, with operations managed by partner Reach Oil and Gas Company Inc. Executive chairman David Bramhill expressed confidence in the Taylor-1 project, highlighting it as a promising venture.
Reflecting on Union Jack’s recent expansion into the US market, Bramhill noted that the move has already generated cash flow from the Andrews field and mineral royalty portfolio, with initial returns exceeding 20% on the company’s original investment. The two wells within the Andrews field, primarily producing gas, have to date yielded 8,765 barrels of oil and 20,221,000 cubic feet of gas.
Despite fiscal uncertainties affecting the UK’s upstream sector, Union Jack continues to operate profitably. The board remains committed to advancing its growth strategy across both its US and UK operations.
Union Jack Oil plc (LON:UJO) is an oil and gas company with a focus on onshore production, development, exploration and investment opportunities within the United Kingdom and the United States of America hydrocarbon sector.
