Providence Awards Barryroe Concept Development Engineering Study (Ireland)

Providence Resources P.l.c., (“Providence”) the Irish oil and gas exploration and development company, whose shares are quoted in London (AIM) and Dublin (ESM), provides a further update on its Barryroe oil field in the North Celtic Sea Basin, offshore Ireland. Providence (80%) operates Barryroe on behalf of its partner Lansdowne Oil and Gas plc (20%). The area is located in Standard Exploration Licence (SEL) 1/11 and Licensing Option (LO) 12/4, situated in c. 100 m water depth and is c. 50 km off the south coast of Ireland.

Providence has recently undertaken static and dynamic modelling of the main Basal Wealden oil bearing reservoir interval. This work, carried out by RPS Energy on behalf of the Barryroe partners, incorporated the data from all five Basal Wealden reservoir penetrations, together with maps derived from the recent 3D seismic survey. This study has established oil recovery factors which range from 17% to 43%. Based on a development scenario involving 41 horizontal production and 22 horizontal water-injection wells over a 25 year field life, a recovery factor of 31% is modeled. These horizontal producer and injector wells are designed to be 600m in length, with the producers incorporating gas lift.

Providence also announced that the Barryroe Concept Development Engineering Study contract has been awarded to Procyon Oil & Gas. This study will evaluate a number of preferred development options which were high-graded during the recently completed development screening study.

Speaking today, John O’Sullivan Technical Director of Providence said;

“These reservoir and dynamic modelling studies have identified significant productive potential in the Basal Wealden reservoir, which is consistent with the test and other data that we have previously announced. These results will now be factored into our ongoing field pre-development work where we have kicked off a key engineering study to identify and select the optimum development concept. As part of this study, we will obviously consult and solicit feedback from both regulatory and local stakeholders on an ongoing basis.”

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Press Release, October 10, 2012