Providence Secures Rig Slot For 2007 Drilling P...

25 September 2006

     Providence Resources P.l.c. ("Providence" or the "Company")

       PROVIDENCE SECURES RIG SLOT FOR 2007 DRILLING PROGRAMME
                          OFFSHORE IRELAND
               PROVIDENCE AND ISLAND SEPARATELY AGREE
       TO UNDERTAKE SPECIFIC CELTIC SEA JOINT STRATEGY REPORT
                         FOR OIL DEVELOPMENT
Providence, the AIM and Dublin IEX listed oil & gas exploration and
production company, announced today that it has reached agreement
with Island Oil & Gas plc ("Island") for the provision of the
semi-submersible drilling unit "Petrolia" in 2007. In April 2006,
Island announced that it had contracted a 150 day drilling programme.
Under the terms of an agreement reached between Island and
Providence, Island will assign 1 firm drilling slot to Providence in
2007. This will allow Providence to progress its drilling plans
offshore Ireland for 2007, further details of which will be announced
in the coming months. A further slot may become available in 2007
depending on the duration of the respective drilling programmes being
carried out by the two companies.

Separately, Providence and Island have agreed that they will work
together to develop a common strategy report for the joint
development of the companies' Celtic Sea oil assets based on a shared
floating production facility. This report will be undertaken at
Providence's cost and will be based on the extensive work Providence
has conducted on floating facilities in the Celtic Sea, suitably
modified to take into account the differing reservoirs for joint
development purposes and economic savings. The assets to be included
in this study incorporate each company's Celtic Sea oil assets.

Commenting on today's announcements, Tony O'Reilly jnr, Chief
Executive of Providence, said:
"We are delighted to have reached agreement with Island to secure a
rig slot in 2007, utilising the Petrolia Rig. This now allows
Providence to progress its drilling plans offshore Ireland for 2007,
further details of which will be announced in the coming months.

Paul Griffiths, Chief Executive of Island said:
"The assignment of one rig slot allows Island to share the high costs
of mobilization / de-mobilisation. We are also delighted to have
reached agreement with Providence on a joint development study for
the oil assets in the Celtic Sea. The combination of our respective
experience and technical know how should allow us to further progress
the portfolio of oil assets in the Celtic Sea".
Contacts:
Providence Resources P.l.c.
Tony O'Reilly jnr., Chief Executive Tel: + 353 (1) 667 5740

Powerscourt Media
Victoria Brough Tel: [phone]

Murray Consultants
Pauline McAlester Tel: + 353 (1) 498 0300

Island Oil & Gas plc
Lisa J Newman Tel: + 44 (0)7747 462 574
Newman Consulting


About Providence
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.

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. Recent corporate announcements include;
Gardline Geosurveys Ltd Survey (announced September 15th, 2006); 20%
Farm-out Deal agreed with CMI on Celtic Sea Licences (announced
September 5th, 2006), Completion of Dunquin Seismic (announced on
August 8th, 2006), Annual General Meeting Statement (announced on
June 20th, 2006), Annual Results (announced on May 17th, 2006),
Dunquin Farm-out to ExxonMobil (announced on February 13th, 2006), a
¤50 million Revolving Credit Finance Facility with Macquarie Bank
(announced on February 2nd, 2006) and increased production at its
Singleton oilfield (announced March 7th, 2006).

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

About Island
Island was founded in 2003 and listed on AIM in December 2004.  The
Company has interests in eleven Irish offshore licences, (six as
operator and two as technical manager).   The Company is involved in
an active exploration and appraisal programme with three wells
drilled in 2006, two of which were successful gas discoveries.  The
Company has also secured the Petrolia rig for its planned 2007
drilling programme.

Further information on Island Oil & Gas plc can be found on the
Company's website at 

http://www.islandoilandgas.com

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