By Brad Sorensen, CFA
OTCQB:UJOGF
READ THE FULL UJOGF RESEARCH REPORT
Union Jack (OTCQB:UJOGF) is an oil and gas company that has traditionally been rooted in the UK onshore market but has now made a substantial investment in the United States to add to its portfolio. For years, its flagship project has been the Wressle oil field in Lincolnshire, UK, which has provided steady production and good cash flow. A further production interest is at Keddington, which has recently been brought back online following extensive site upgrades.
The company has development interests in West Newton, Biscathorpe, and North Kelsey, all of which offer longer-term growth opportunities. The operating environment for oil and gas companies has grown difficult in the UK, with a regulatory environment that makes approvals for projects drag on for years, and a “windfall tax” on hydrocarbon projects makes developing profitable projects difficult. It must be noted that Union Jack has enough capital loss carryforwards to offset UK income that the company is going to make in the next several years, so that it will not have to worry about the tax. To further expand the reach of Union Jack and to diversify operations in areas other than the UK, company management made the decision several years ago to add the United States to their portfolio.
Union Jack has just released a project update that reinforces the strength and resilience of its diversified portfolio in both the United Kingdom and the United States. In the UK, the company’s flagship Wressle field continues to deliver reliable performance, averaging around 267 barrels of oil per day in January 2026, while ongoing facility upgrades are aimed at improving production efficiency and cutting routine flaring. The quality of this asset is underscored by substantial 2P reserves of over 2.3 million barrels that remain in the ground, supporting long-term value for shareholders. The Keddington oilfield has also been brought back into production, adding to the group’s domestic momentum, and the broader West Newton gas project represents a further growth runway as regulatory approvals progress.
Across the Atlantic in Oklahoma, Union Jack’s strategy of building a balanced mix of production, development, and royalty interests is yielding tangible results. For example, its Moccasin site is currently producing around 50 bpd, and the company continues to evaluate increasing productions. Its operations with partner Reach Oil and Gas have stayed cash-flow positive even in a challenging pricing environment, with the Moccasin and Andrews wells contributing meaningful output and revenue. The company is planning near-term activity at the high-impact Crossroads prospect and has identified additional productive opportunities, while its expanding mineral royalty portfolio delivers stable, low-risk income that enhances overall financial resilience.
The tone of management’s commentary highlights a disciplined focus on cost efficiencies and cash flow optimization across all of Union Jack’s assets. This operational discipline, combined with the geographic diversity of its portfolio and a zero-debt balance sheet, positions the company to weather short-term volatility in commodity markets and benefit from future shifts in energy demand and policy. For investors looking for exposure to proactive asset development underpinned by steady production, meaningful reserves, and diversified income streams, the latest update paints a picture of a company steadily executing its strategy while laying the foundation for sustainable growth, and we encourage investors to take a look at UJOGF.
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