Union Jack Oil Share Discussion Threads

[karina] 19/8/2024 10:31

UJO would not have been allowed to pay a dividend if they were not fully funded for projects in progress

Good effort 4321

[plasybryn] 19/8/2024 10:23

SP Angel this morning- Subject: Union Jack Oil* (UJO LN): Flash Note - Making rapid progress with US expansion?Valuation: 66p/sh Price Target, BUY

[likeawalrus] 19/8/2024 10:21

UJO has 6.3m treasury shares - perhaps it's time to put them to good use and pay Reach in shares? (obviously with a transparent lock-in period)

[markfrankie] 19/8/2024 09:43

Great RNS.
And Exciting regarding the possibility of 'prolific' NE + NW 40 and 50% CoS later in the year

[lageraemia] 19/8/2024 09:41

Speaking of Gushers, Andrews-2 is contrained on free flow at 180bpd. That's not bad.

[dan de lion] 19/8/2024 09:21

What we need is a "gusher" not a trickle!

[likeawalrus] 19/8/2024 09:05

we need to keep an our on our cash position (very hard to determine atm) - if WN progresses in H2 as stated, that's £2.2m capex, plus H2 upgrades at Keddington, plus an unknown capex cost for Wressle expansion, fortunately Bisc is on hold for the moment. our cash position is likely to drop significantly before it gets better

[wba1] 19/8/2024 08:53

A very promising update, but I still cannot get over the utter incompetence of how the news has been managed. We are only marginally up in price today and, with competent communication, the impact on the price could have been so much better. It is clear that Bramhill chose to hold back news past dates previously stated in order to deliver one mega update. Any competent PR outfit would have told him to stick to dates or issue an interim update explaining the delay. In this case they would have told him to split the news for maximum impact which would certainly have enabled him to comment on the Andrews 1 performance earlier and on time.
Given the success of the wells I would suggest he looks at retaining some decent communications expertise and, if he is already paying for some, that he cancels the contract of any current advisors.

[likeawalrus] 19/8/2024 08:52

29.01.24 RNS

· The total cash consideration for the Royalties was US$854,070 (£677,235)

· 10% of consideration earned since December 2023

· The Royalties are estimated to have an economic life of more than 26 years and a current Internal Rate of Return in excess of 20%

...so 10% after 1 month and 20% after 7 months?

[lageraemia] 19/8/2024 08:45

That's what I call an RNS. Back in 2011 that would have tripled the share price. Imagine the valuation of an AIM oiler that was profitable and debt free with exploration upside in the good old days.

GP's numbers looks spot on to me. The 'contrained' word is always very important - these wells can do more when they are settled into production.

"The Mineral Royalty investments where Union Jack holds proxy interests in 165 wells are delivering a consistent, safe and attractive income stream. Return on investment to date equates to approximately 20%+ and will be reported on comprehensively in the Company`s Half Yearly Report which will be published during September 2024."

20%+ return on what expenditure? I can't remeber a comment from UJO about the scale of the investment in these royalty units.

[lageraemia] 19/8/2024 08:23

Thats a very high COS for a wildcat well.

[likeawalrus] 19/8/2024 07:58

Taylor - 40% geological chance of success
Moccasin - 50% chance of success

Is it normal to drill when the CoS is 50% or less?

[guesswhosback2] 19/8/2024 07:40

No news from the 4 derampers above? All wrong in the estimations.

[currypasty] 19/8/2024 07:05

should be well over 20p on that update

[markfrankie] 19/8/2024 07:00

Well you wait ages for a bus and several turn up at once lol.
Some update .. going Great guns

[ctunit] 19/8/2024 06:58

184bopd????
But in 10 days it has only flowed 544barrels of oil in 10 days.

[cashandcard] 19/8/2024 06:55

Smashing update. Good to see they are cracking on with more wells in the US.Cash

[greypanther2] 19/8/2024 06:45

Today’s RNS is a very comprehensive update on UJO’s activities in Oklahoma, but it’s possible to glean a few extra facts from it regarding the two Andrews wells. Some 6,460 barrels of oil and 382,000 cu. feet of gas have been produced from well 1-17 since late May. I reckon that’s about a 90 day period, so over that time it has averaged about 72 bopd, or 32 bopd net to UJO. While some investors might be slightly disappointed that there hasn’t been a sustained 100 bopd, there has presumably been a fair bit of “downtime̶1; over that period during the testing. It is, however, producing a light, 46 degree API oil, which is almost condensate gravity, with a very low GOR of about 59 cu. ft / barrel and presumably quite a lot of water. The gas from 1-17 has therefore averaged about only 4,240 cu. feet per day which is less than 1boepd gross. Regarding the later, Andrews 2-17 well, I was pleased to see that it has produced a very decent 184 bopd and 320,000 cu. feet of gas per day on test. That’s 83 bopd net of light oil for UJO plus 144,000 cu. feet of gas per day (say 24 boepd net to UJO for just the gas). At about 1,740 cu. ft per barrel the 2-17 GOR is a lot higher than in the 1-17 well. The second Andrews well came in about 20 ft structurally higher than the first one, so presumably it’s a bit closer to what might be a gas cap in the Hunton reservoir. No water is being produced from this well, it’s free-flowing and severely choked back, so it’s a really excellent well. The two wells together have therefore been producing oil at about 72 plus 184 bopd for a combined 256 bopd, which is 115 bopd net to UJO’s 45% interest, plus the revenue from at least 144,000 net cu. feet of gas. So, bearing in mind that we might see another three wells drilled before too long, I’m very happy.

[likeawalrus] 19/8/2024 06:45

wow, these Yanks don't hang around, no endless promises of "this year" like North Kelsey, or Kedd or WN...we could have another 3 drills in the next 6 months, well done DB

[karina] 19/8/2024 06:43

Is that more than 25 bopd Curry My maths is not great ;-)

[currypasty] 19/8/2024 06:24

· Under test conditions production rates of 184 barrels of oil and 320,000 cubic feet of gas per day have been recorded

· Due to high wellhead pressure of 1,250 psi, oil and gas production is currently constrained and the choke reduced to 14/64" (approximately 25% of choke size)

[karina] 19/8/2024 06:23

It really is !!! :-)

[rwells4474] 19/8/2024 06:15

That's some RNS