Bitcoin Mining to Unlock Yorkshire Gas Project for Union Jack and Partners.

Union Jack Oil and partners are developing a novel plan to unlock value in the West Newton field in Yorkshire by using natural gas to power bitcoin mining operations. The proposal aims to generate superior returns compared to a standard bitcoin treasury strategy. A two-unit mining operation is expected to yield $3.1 million in annual revenue and $2.7 million in cash flow, while a six-unit operation could generate $9.3 million and $8.5 million, respectively.

Union Jack Oil plc (LON:UJO, OTCQB: UJOGF), a USA and UK-focused onshore hydrocarbon production and investment company, is exploring an innovative approach to monetize its West Newton gas field in Yorkshire by leveraging Bitcoin mining. The company has entered into a non-binding Letter of Intent (LOI) with Texas-based 360 Energy Inc. to deploy Bitcoin mining operations powered by natural gas from the field.

The West Newton field, which holds an estimated 200 billion cubic feet of recoverable gas resources, is operated by Rathlin Energy Ltd. on behalf of the Joint Venture partnership, which includes Union Jack Oil and Reabold Resources plc. The proposed plan involves using natural gas from existing wells to generate electricity for on-site Bitcoin mining operations. This strategy aims to generate early cash flow while bypassing the lengthy process of full-scale gas development [1][2].

Under the LOI, 360 Energy will provide its In-Field Computing technology to convert natural gas into electricity for powering Bitcoin mining rigs. The initial deployment is expected at the WNA-2 well, with the possibility of expanding to other parts of the field. The project is part of a feasibility study conducted by Rathlin Energy, which aims to generate revenue from Bitcoin production [1][2].

Executive Chairman of Union Jack Oil, David Bramhill, commented on the initiative, stating that it offers a sustainable return and could lead to the introduction of a new Bitcoin Treasury strategy if successful [1]. The LOI is still in its early stages, and the project is subject to regulatory and third-party approvals.

The proposed Bitcoin mining operation could yield significant returns. A two-unit mining operation is expected to generate $3.1 million in annual revenue and $2.7 million in cash flow, while a six-unit operation could generate $9.3 million and $8.5 million, respectively [3].

The initiative aligns with global energy trends by reducing gas flaring and emissions, positioning Union Jack as a potential pioneer in UK onshore crypto-mining. By diversifying its revenue streams, Union Jack Oil is exploring a strategic shift that could unlock early cash flow from its substantial gas reserves.

References:
[1] https://www.directorstalkinterviews.com/union-jack-oil-explores-bitcoin-mining-to-monetise-west-newton-gas/4121211041
[2] https://crypto.news/union-jack-oil-plans-to-deploy-bitcoin-mining-rigs-in-west-newton-ahead-of-btc-treasury-proposal/
[3] https://www.ainvest.com/news/bitcoin-news-today-union-jack-oil-power-bitcoin-mining-site-gas-2508/