Providence Cites North Celtic Sea Resource Updates

Providence notes the announcement made by Lansdowne O&G concerning the completion of an updated Competent Persons Report (CPR) on its assets in the Celtic Sea, offshore Ireland. Said CPR refers to two projects in which Providence has a material equity stake and is Operator, namely the Barryroe (50%) and Helvick (62.5%) oil discoveries.

Excerpts of the CPR, as derived from the RNS, and as applicable to Providence include:

  • In the two oil discoveries in which Providence has an interest, Barryroe (50%) and Helvick (62.5%), Providence's net combined P50 technically recoverable oil amounts to 31.875 MMBO.
  • Under the current conditions of high oil prices, commercial production at Helvick (3 MMBO Gross, 1.875 MMBO net 2C Contingent Resources) could be achieved, which could lead to first oil within 2 years of project sanction.

On Wednesday, February 16th, 2011, Providence announced the placing of 16.096 million new ordinary shares to raise $65.7 million in support of its planned multi-year, multi-well drilling campaign to cover the six basins in which the Company has license interests offshore Ireland. As part of this program, plans are being advanced by Providence, as Operator, for the drilling of wells at Barryroe and at Hook Head, both in the Celtic Sea Basin.