Union Jack reaches $6m revenue since Wressle restart

Onshore producer Union Jack Oil announced on Monday that “material landmark” net revenues of $6m (£4.77m) have been achieved from the Wressle hydrocarbon development.

Wressle is located within licences PEDL180 and PEDL182 in North Lincolnshire, on the western margin of the Humber Basin.

The AIM-traded firm holds a 40% economic interest in the producing hydrocarbon development.

It said $6m in revenue had been generated to Union Jack since the restart of production during August last year, with the well continuing to produce under natural flow, with zero water cut.

Site upgrades were ongoing, Union Jack added.

As at 23 May, the company's cash balances and short-term receivables stood at more than £7.7m, with the firm saying it was covered for all general and administrative, operational and contracted or planned capital expenditure, including any budgeted drilling activities for at least the next 12 months.

Union Jack also confirmed it was debt-free.

“Another period of stellar performance from the Wressle-1 development has been achieved,” said executive chairman David Bramhill.

“Union Jack is now on a material growth trajectory which augurs well for the future of the company and its shareholders.”

At 1253 BST, shares in Union Jack Oil were up 1.47% at 28.92p.

Reporting by Josh White at Sharecast.com.