Union Jack Oil confirmed this morning that the Wressle-1 well has been brought back into production following the installation of a downhole jet pump, notes Shore Capital.
Flow rates in excess of 950 barrels per day have been recorded, with the well now on continuous 24-hour production and still cleaning up.
ShoreCap added: “With production from the Wressle project successfully reinstated and stabilised rates to be confirmed shortly, we continue to highlight Union Jack’s debt-free balance sheet, shareholder-friendly distribution policy and strong cash generation.
“Ahead of further news on flow rates from Wressle and publication of a new CPR assessing this flagship field, we maintain our financial forecasts along with our 90p/share risked NAV estimate.”
Shares rose 9% to 21.3p.