Leaks16 Nov 2021 10:31
The leaks have been the main factor in dragging the SP down to these levels. There are few companies on AIM in the financial position now being enjoyed by UJO. Fully funded, debt free, revenues coming in and one asset in particular looking to be the making of them with further development. The investigation DB alludes to appears to be getting results, there has quite obviously been a targeted attack on social media to accompany the leaks and throw in a concentrated attack by anti-hydrocarbon protestors, added to the mist likely forced silence pending said investigation, any improvement in the SP has been restricted.
The interview has shown that things are being done to resolve these leaks. The investigation has identified certain entities who's details will be forwarded to the FCA.
Who these people maybe could be very interesting, could the rot extend to the brokers, the financial investors they deal with on a sounding/raise? As I said previously and as RNStranslator suggests, the leaks really do have to come from the first people the company approach or the people they approach. Either they leak or their contacts leak.
There's no doubt that however things now progress, Union Jack are in a secure position financially. I feel safe in the knowledge that no further placings are necessary or likely in the near future and the upgrade costs at Wressle are more than covered with the income. With the choke so restricted, the free flow once the equipment has all been upgraded could viably be maintained at 1000 boepd which, as DB states, will be transformational for the company. At $80 a barrel, their share would equate to over $13m annually. People talk of $100, equating to over $16m. With a 15 year production plan, this is not to be sniffed at and with a Keddington side track potentially adding a further 300 bopd, these figures are certainly not impossible.
AIM is a Casino ( ;) ) and high risk. There would now appear to be no risk in terms of the survival and progress here, the corner has been turned imo.
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