Providence agrees EUR 50 million Finance Facility

Providence Resources plc ('Providence' or 'the Company') is pleased
to announce that it has agreed a EUR 50 million revolving credit
facility with Macquarie Bank Limited  ('Macquarie'). It is intended
that the facility be used to fund the acquisition of new production
and/or the development of both existing and new projects. The
facility will have an initial duration of 48 months

Under the terms of the facility,   EUR 5 million will be made
available to fund general working capital and development
opportunities. The balance will be made available to Providence,
subject to the terms of the facility, to fund oil and gas
acquisitions, investments and development opportunities.

As part of the agreement, the Company has agreed to grant Macquarie
warrants to purchase new ordinary shares in Providence at a
subscription price of EUR 0.045 per share. The number of warrants to
be issued is linked to the funds available for drawdown under the
facility, with an initial 35 million warrants to be granted in
connection with the initial drawdown and a maximum of an aggregate
100 million warrants to be granted if the full EUR 50 million
facility becomes available for drawdown.

Tony O'Reilly Junior, Chief Executive of Providence Resources,
commented:

"This facility is great news for Providence. It will allow us to move
quickly on opportunities, thereby accelerating our plans to increase
our daily oil production rates. Macquarie is a natural resources
specialist with a proven track record in advising companies in the
oil and gas business. We are very pleased that we have secured this
flexible credit facility to help fund our stated strategy for
growth."



Contacts:


Providence
Tony O'Reilly Jnr. ,Chief Executive Tel: [phone]

Powerscourt                         Tel: [phone]
Rory Godson                         Mob: [phone]
Victoria Brough                     Mob:[phone]

Murray Consultants
Pauline McAlester                   Tel: [phone]




NOTES TO EDITORS

1.     Providence Resources Plc is an independent oil and gas
exploration company listed on the AIM market in London and on
Dublin's IEX market. The Company was founded in 1997, but with roots
going back to 1981 when it predecessor company, Atlantic Resources
Plc was formed by a group of investors led by Sir Anthony O'Reilly.

2.     Providence's active oil and gas portfolio includes interests
in Ireland (offshore), the UK (onshore and offshore) and West Africa
(offshore Nigeria).   Providence's portfolio is balanced between
production, appraisal and exploration assets, as well as being
diversified geographically.

3.     The Revolving Credit Facility is a minimum EUR 5 million/
maximum EUR 50 million facility. Subject to the facility terms,
Providence Resources can utilise the facility, as required,
throughout the term of the loan (4 years). The initial credit
facility of EUR 5 million is secured against certain specified
production assets of Providence. Subsequent security will be based on
the assets acquired. All warrants have a subscription price of 4.5
cents and they cannot be exercised until 6 months after issuance and
expireon the fourth anniversary of closing. In the event that the
maximum number of warrants is granted and all such warrants
exercised, EUR 4.5 million cash would be yielded to Providence and
the percentage of the existing share capital in which Macquarie would
be interested would be approximately 5%.

4.     Comprehensive information on Providence and its oil and gas
portfolio, including the AIM Admission document, Annual Report 2004
and Interim Report 2005 are all available from Providence's website
at www.providenceresources.com

5.     The Macquarie Bank Group is a diversified, international
provider of specialist financial and investment banking services with
over 7,000 people in 23 countries. Macquarie Bank is a leading
provider of debt and equity capital for the oil and gas industry.
From offices in London, Houston and Sydney, Macquarie's Energy
Capital Division provides oil and gas borrowing base revolvers,
structured and project finance, corporate restructurings and
recapitalisations, mezzanine and subordinated debt and equity
capital. The Division also provides tailored commodity price risk
management for energy companies.




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