Union Jack Oil PLC (AIM:UJO, OTCQB:UJOGF) hailed a positive period of operational progress in the first half of 2025, as the portfolio of production assets saw drilling and development projects underway or planned for the near future, while the company remained debt-free.
Revenues of £1.29 million were generated, compared to £2.34 million a year ago, reflecting lower oil prices and a weaker US dollar.
Production averaged 149 barrels of oil equivalent per day, increasing to 164 boepd by the end of the period.
A net loss of £0.49 million was reported for the period, compared to a profit of £0.79 million a year earlier.
In Oklahoma, the Moccasin well was drilled and brought into production. A three-well drilling programme is underway, with testing in progress at the Sark well.
Moccasin1-13 oil discovery, now in production, producing at a restricted gross 60+ barrels of oil per day.
Post-period, Union Jack raised £2 million through an institutional placing to fund the drilling activity.
In the UK, the Keddington oilfield resumed production after site upgrades. At Wressle, development and surface upgrades continue, aimed at enhancing production and eliminating routine flaring.
Executive chairman David Bramhill commented: "The half yearly results are operationally positive with the company remaining in a strong position, free of debt, retaining a robust balance sheet and holding a balanced portfolio of production assets on both sides of the Atlantic, complemented with numerous drilling and development projects that are either currently active or are planned for the near future."
He added that cash flows from 40%-owned Wressle and the 55%-owned Keddington, where production has recently been reinstated following site upgrades, are bolstering the balance sheet and are "contributing significantly to its financial well-being".
"At Wressle, the development programme is progressing, with preparation for new wells and gas monetisation which will enhance production and eliminate routine flaring. In parallel, the site's surface facilities are being upgraded to optimise current and future production efficiencies.
"West Newton, another key project within Union Jack's portfolio, retains the potential to surprise positively. Reabold Resources plc, the indirect majority holder of PED183, is working closely with the Company to extract the material value that we feel is present within the licence area.
"To date, our discovery success rate in the USA has been 100%. There will likely be some highs and lows in our quest for growth, however, I remain confident that our increased activity will accelerate progress and continue to support our growth ambitions going forward."
The £2 million raised in July are being used to conduct a three-well drilling programme in Oklahoma with drilling partners, Reach Oil & Gas.
"During the remainder of 2025, Union Jack will be involved in testing and completion of Sark, followed by drilling of the Crossroads and Wolverine wells in Oklahoma," he said.
"The company has a clear focus and the funding in place to complete its Oklahoma drilling programme.
"Meanwhile, in the UK, we are beginning to see some distinct signs of life in the supressed oil and gas sector and are keeping a watchful eye on wider industry developments as major international oil companies including BP return their focus to their 'grass roots'" E&P businesses.
"We are encouraged by this and will continue to pursue our own goals of production expansion and development at our key projects."
He concluded that "the future of Union Jack remains bright."