Oilman Jim's Letter - 7 May 2024

Union Jack Oil plc (UJO.L UJOGF) announced a positive update in respect of the Andrews 1-17 well, Oklahoma, in which it holds a 45% working interest. The well has been declared a commercial discovery and is producing and selling high quality oil with an API gravity of approximately 41 degrees. The time to “first oil,” while normal for the US, reflects poorly on the administrative procedure in the UK, where years is the norm rather than days. A follow-up Andrews-2 well location is currently in the planning phase, in readiness for early drilling as a result of initial Andrews 1-17 success.

Tamboran Resources (TBN.AX TBNRL) announced its intention to list on the New York Stock Exchange via a US Initial Public Offering under the ticker TBN. The company’s shares will also continue to trade on the Australian Securities Exchange. Tamboran’s board of directors believes that a US listing has the potential to improve liquidity and provide access to deeper capital markets that better understand the development of shale gas. Funds raised via the US IPO are expected to fund Tamboran’s activity in the Beetaloo Basin, including delivering production from the proposed Shenandoah South Pilot Project. Final Investment Decision following completion of the IPO is targeted in mid-2024.

Pulsar Helium (PLSR.V PSRHF) announced that Spring road restrictions in the north frost zone have ended and the company will immediately recommence field operations at the Jetstream #1 appraisal well. Activities will initially consist of road improvements and civil works, followed by down-hole logging, well completion, and flow testing with a pressure build up program. All necessary contracts are in place with vendors and equipment has been secured to complete the upcoming works. The Jetstream #1 appraisal well reached total depth of 2,200 feet (671 meters) on February 27, with helium concentrations of up to 13.8%.

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