Blacrock Celtic Sea Farm-In

Providence Resources PLC
29 March 2004



                          PROVIDENCE Resources P.l.c.

                     ANNOUNCES BLACKROCK CELTIC SEA FARM-IN


PROVIDENCE Resources P.l.c. ('Providence' or 'the Company') is pleased to
announce that it, together with its partner Midmar Energy Limited ('Midmar'),
has entered into a heads of agreement with Challenger Minerals Inc. and Palace
Exploration Company (collectively referred to as the 'CMI JV') whereby the CMI
JV shall have the right to earn a 50% interest in the entire Licensing Option 03
/1 in the Celtic Sea, Republic of Ireland, in return for the CMI JV part funding
the drilling of a Test Well in 2004 on the Blackrock prospect and funding 100%
of the costs of drilling a Second Well, if the 2004 Test Well encounters
hydrocarbons and the CMI JV elects to exercise the Second Well option. The
agreement is subject inter alia to full form legal documentation, regulatory
approvals, third party consents and other customary conditions. Providence and
Midmar will retain a 37.5% interest and a 12.5% interest respectively.

The CMI JV partners are Challenger Minerals Inc. (a wholly owned subsidiary of
GlobalSantaFe Corporation, one of the largest international oil & gas drilling
contractors) and Palace Exploration Company, an independent US oil & gas company
with worldwide interests.

The CMI JV shall part fund the 2004 Test Well programme on Blackrock by paying
66.6667% of drilling costs of the Test Well plus 50% of other Test Well costs
including lead-in, flow testing and other well costs.

Commenting on the announcement, Dr. Brian Hillery, Chairman of Providence, said:
'The commitment of international large scale partners, Challenger Minerals and
Palace Exploration, to the Blackrock prospect is a validation of Providence's
and Midmar's commitment to the Celtic Sea. The agreed drilling and testing
programme with the CMIJV should significantly advance all parties towards
realising the potential of the Celtic Sea interests and generating value for
Providence shareholders.


For Reference:

PROVIDENCE Resources P.l.c.           Murray Consultants
Stephen Carroll/ Tony Odone           Pauline McAlester
Tel: [phone]                 Tel: [phone]


29 March, 2004


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