Thu, 28th Jan 2021 07:00
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement
28 January 2021
Union Jack Oil plc
("Union Jack" or the "Company")
West Newton Technical Update and Presentation
Union Jack Oil plc (AIM: UJO), a UK focused onshore hydrocarbon production, development and exploration company is pleased to announce that a technical presentation in respect of the recently drilled West Newton B-1 and B-1Z appraisal wells is now available on the Company`s website www.unionjackoil.com.
The Company holds a 16.665% economic interest in PEDL183, encompassing an area of 176,000 acres and located within the Western sector of the Southern Zechstein Basin, onshore UK, North of the river Humber. PEDL183 contains the conventional West Newton A-1, A-2 and B-1Z discoveries.
The West Newton technical presentation contains new significant technical data that is material to the ongoing commercial evaluation of the project. The presentation identifies or contains the following new information:
· Locations for the West Newton A-1, A-2, B-1, B-1Z and a proposed B-2 well, which has planning permission in place and is provisionally planned to be drilled in H2 2021, and a demonstration of where the B-1Z well represented a considerable 2.5 kilometre step-out to the south of the A-2 well
· Good seismic calibration across the West Newton project area, highlighting both the Kirkham Abbey "platform" and "slope" formations
- Demonstrated hydrocarbon column of at least 118 metres with no hydrocarbon-water contact
- Thick porous section identified in both A-2 and B-1Z wells suggesting a contiguous structure across the Kirkham Abbey formation
- B-1Z well de-risks the southern component of the West Newton licence area and crucially supports the accuracy of the seismic interpretation across the entire platform
· Log results at B-1Z well were excellent, exceeding Union Jack`s pre-drill expectations
- Good porosity throughout the interval
- Kirkham Abbey interval hydrocarbon saturated
- Mudgas concentrations observed while drilling through the Kirkham Abbey formation at B-1Z well were as high as 9.8% total gas
· 18 metres of core cut and recovered from the B-1Z well
- Visible natural fracturing, micro fracturing and vuggy porosity demonstrated from core-lab inspection and analysis
· Numerous additional leads and prospects, including Ellerby and Spring Hill, identified across PEDL183
David Bramhill, Executive Chairman of Union Jack commented: "Following the drilling of the successful B-1Z appraisal well, the technical summary of the West Newton project, provided on the Union Jack website, is the result of extensive evaluation by technical teams at Rathlin Energy, Reabold Resources and Union Jack, all whom have contributed additional materiality to our technical understanding of West Newton.
"There remains considerable upside in the opinion of Union Jack`s management especially with the Ellerby and Spring Hill Prospects being on-trend with West Newton.
"We look forward to reporting further progress on this compelling onshore conventional project in due course."
Competent Person`s Statement
In accordance with the "AIM Rules - Note for Mining and Oil and Gas Companies," the technical information contained within this announcement has been reviewed and approved by Graham Bull, Non-Executive Director. He is a member of the Petroleum Exploration Society of Great Britain, the American Association of Petroleum Geologists and a Fellow of the Geological Society of London and has over 46 years of international oil and gas industry experience.
For further information, please contact:
Union Jack Oil plc Via Cassiopeia Services Ltd
SP Angel Corporate Finance LLP +44 (0)20 3470 0470
Nominated Adviser and Broker
Cassiopeia Services Ltd +44 (0)7949 690 338