Union Jack Oil Reports Steady UK Output and US Growth as It Tightens Costs

The latest update is out from Union Jack Oil ( (GB:UJO) ).

Union Jack Oil has reported steady production and ongoing development across its core UK and US portfolios, highlighting its flagship Wressle field in Lincolnshire, which remains one of the UK’s most productive conventional oilfields with January output averaging around 267 barrels of oil per day and significant remaining 2P reserves, as well as a revived Keddington oilfield and the West Newton gas project, where contingent resources and further prospective targets underpin the company’s domestic growth options pending regulatory approvals. In the United States, the company’s Oklahoma operations with partner Reach Oil and Gas remain cash-flow positive despite lower oil prices, supported by successful production from the Moccasin and Andrews wells, near-term drilling at the high-impact Crossroads prospect, planned stimulation at Taylor 1-16, and an expanding mineral royalty portfolio, while management emphasises a renewed focus on costs and efficiencies to enhance corporate cash flow and position the business to benefit from future shifts in energy policy and market conditions on both sides of the Atlantic.

The most recent analyst rating on (GB:UJO) stock is a Hold with a £3.50 price target. To see the full list of analyst forecasts on Union Jack Oil stock, see the GB:UJO Stock Forecast page.

Spark’s Take on GB:UJO Stock

According to Spark, TipRanks’ AI Analyst, GB:UJO is a Neutral.

The score is primarily supported by a very strong, low-risk balance sheet (no debt) and sustained profitability since 2022, but is held back by 2024’s sharp profitability compression and negative/volatile free cash flow. Technicals show short-term strength but overbought momentum and a weaker longer-term trend, while valuation is difficult to support due to the negative P/E and missing dividend yield.

To see Spark’s full report on GB:UJO stock, click here.

More about Union Jack Oil

Union Jack Oil is an onshore oil and gas company focused on hydrocarbon production, development, exploration and investment in the UK and USA. Listed on AIM and OTCQB, it holds interests in a portfolio of conventional oilfields, gas developments and mineral royalty assets, with a particular operational focus on projects in the Humber Basin in England and on cash-generating ventures and royalties in US basins such as Oklahoma, the Permian, Bakken and Eagle Ford.

Average Trading Volume: 638,778

Technical Sentiment Signal: Sell

Current Market Cap: £4.76M

Learn more about UJO stock on TipRanks’ Stock Analysis page.