REG - Union Jack Oil PLC - Interim Dividend Declared

Union Jack OilAnnouncement

28/03/2023 07:15

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RNS Number : 3765U  Union Jack Oil PLC  28 March 2023

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR.

 

28 March 2023

 

Union Jack Oil plc

("Union Jack" or the "Company")

Interim Dividend Declared

 

Union Jack Oil plc (AIM: UJO), a UK focused onshore hydrocarbon production,
development and exploration company, is pleased to declare an interim dividend
to shareholders.

The financial position of Union Jack during 2022 and the first quarter of
2023, has been transformational and, following a thorough review of the
capital requirements of the Company's business operations, organic growth
options and other considerations, the Board has decided it is both timely and
appropriate to make a further distribution, in the form of an interim
dividend.

 

Dividend Declared

The Board declares an interim dividend of 0.3 pence per ordinary share with a
London Stock Exchange ex-dividend date of Thursday 6 July 2023, a record date
of Friday 7 July 2023 and payment date of 28 July 2023.

 

Share Buyback Programme

The Board has also implemented a share buyback programme, funded from the
Company's existing cash resources and within the limitations of the authority
granted by shareholders at the 2021 Annual General Meeting, held during June
2022.

As at 27 March 2023, the Company has purchased a total of 2,825,000 ordinary
shares in open market transactions, with the timing of share buybacks
dependent on market conditions, share price, trading volumes and the Company's
Capital Allocation and Distribution Policy criteria.

The Company has placed the ordinary shares purchased into treasury.  Ordinary
shares held in treasury are not entitled to voting rights or dividend
payments, the result of which increases the earnings per share going forward.

 

Executive Chairman of Union Jack, David Bramhill commented: "Union Jack's
financial position has been transformational and the Company has a robust
balance sheet, a fully funded and active work programme for its principal
projects and has no borrowings.  The current cash, receivables and liquid
investments are in excess of £10,500,000, as at 27 March 2023.

"Our Capital Allocation and Distribution Policy and current excess cash
position allowed the Company to pay a maiden special dividend of 0.8 pence in
December 2022 and to now declare an interim dividend of 0.3 pence which, when
both dividends are combined, equates to a gross yield over and above the
current Bank of England Base Rate at the current share price.  In addition to
dividends, we have also undertaken selective share buybacks, all of which
signal Union Jack has an active capital distribution policy that is made
possible because it is underpinned by the significant progress we have
achieved during the past year.

"Any and all future dividends and share buybacks will be reviewed and
determined in line with the Company's Capital Allocation and Distribution
Policy criteria to ensure the resulting distribution is in the interests of
shareholders."

 

For further information, please contact:

Union Jack Oil
plc
info@unionjackoil.com

David Bramhill

 

SP Angel Corporate Finance
LLP
+44 (0)20 3470 0470

Nominated Adviser and Joint Broker

Matthew Johnson

Richard Hail

Kasia Brzozowska

 

Shore
Capital
    +44 (0)20 7408 4090

Joint Broker

Toby Gibbs

Iain Sexton

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