Ulysses Project Confirms Potential Site for Nat...

Embargo 7:00 am
9 April 2010

                            ULYSSES PROJECT CONFIRMS

                           POTENTIAL SITE FOR NATURAL

                             GAS SALT CAVERN STORAGE

                                   PROJECT IN
                     THE KISH BANK BASIN, OFFSHORE IRELAND


Providence Resources P.l.c. , ('Providence'), through its wholly owned
subsidiary EIRGAS Limited, (EIRGAS'), is pleased to provide an update on its gas
storage evaluation activities in the Kish Bank Basin, offshore eastern Ireland
(the ULYSSES Study) where it has a 50/50 joint venture with Star Energy Group (a
wholly owned subsidiary of PETRONAS, the state oil company of Malaysia).

ULYSSES STUDY

First announced in August 2008, the ULYSSES Study covered the northern and
western sectors of the shallow water Kish Bank Basin and was focused on
assessing the gas storage and carbon sequestration potential of the basin. These
studies have now confirmed a site which may be suitable for offshore natural gas
salt cavern development, similar to those recently proposed for development in
the Lough Larne area of Northern Ireland. In addition, further geotechnical
studies recently completed have confirmed published figures that the basin could
host an effective carbon storage capacity of c. 270 million tonnes.

Speaking today, Tony O'Reilly, Chief Executive of Providence, said:

"We are delighted to confirm that our ongoing analysis of the Kish Bank Basin
has revealed several notable geological structures that warrant further
investigation. Through the ULYSSES study, the Kish Bank Basin has confirmed our
earlier view that its geology could be suitable for potential natural gas salt
cavern storage and carbon sequestration projects. Given the location of this
basin, close to the city of Dublin, we believe that any potential gas storage
development in the basin will be highly competitive given its geographic
proximity."

Contacts:

Providence Resources P.l.c./ EIRGAS Limited  Tel: [phone]
Tony O'Reilly

Powerscourt                                            Tel: [phone]
Rory Godson/Lisa Kavanagh

Murray Consultants                               Tel: [phone]
Pauline McAlester

Notes to Editors

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. Providence's
active oil and gas portfolio includes interests in Ireland (offshore), the
United Kingdom (onshore and offshore), the United States (offshore) and West
Africa (offshore Nigeria). Providence's portfolio is balanced between
production, appraisal and exploration assets, as well as being diversified
geographically. Comprehensive information on Providence and its oil and gas
portfolio, including all press releases, annual reports and interim reports are
available from Providence's website at www.providenceresources.com
<

http://www.providenceresources.com/>.

About EIRGAS Limited
EIRGAS Limited is a SPV (special purpose vehicle) established by Providence to
invest in gas storage and CCS opportunities offshore Ireland and the United
Kingdom. EIRGAS is currently owned 100% by Providence.

About Star Energy Group
Star Energy Group is an energy company with a primary focus on gas storage
development. Founded in 1999, Star Energy is the UK's second largest onshore oil
producer and one of the main developers of underground gas storage using
depleted oil and gas reservoirs. Star Energy employs over 150 people and has a
turnover in excess of £50 million per annum. In early 2008, Petronas
International Corporation Limited, a subsidiary of Petronas, acquired 100% of
Star Energy. Petronas, wholly-owned by the Malaysian government, is a
fully-integrated oil and gas corporation and is ranked among FORTUNE Global
500's largest corporations in the world

About the ULYSSES Project
The Undersea Large-scale Saline Sequestration and Enhanced Storage (or ULYSSES)
Project was designed to assess the potential use of Triassic aged saline
sandstone reservoir sequences as possible sites for carbon sequestration. The
presence of saline reservoirs which are located c. 1.5 km below the seabed
together with overlying sealing shale has been demonstrated in a number of oil
and gas exploration wells which have been drilled in the Kish Bank Basin over
the past c. 30 years. The project
area is located approximately 20 km offshore Dublin.

A similar offshore saline reservoir CO2 sequestration project known as Sleipner
has been successfully operated in the Norwegian North Sea by StatoilHydro since
1996. This project was designed to offset carbon tax liabilities estimated to be
c. US$50 million/year. StatoilHydro reported in April 2008 that it had already
sequestered 10 million tonnes of carbon dioxide since project start-up. Other
partners in the Sleipner Project include ExxonMobil and Total.

Kinsale Energy Limited (a subsidiary of PETRONAS) operates Ireland's only gas
storage facility at the SW Kinsale Head field, offshore Cork. This facility,
which has been operational since 2001, has a storage capacity of 8 BSCF. The
Irish Governmental Green Paper on Energy recommends that Ireland should have at
least 3 months of reserve/storage capacity which equates to c. 45 BSCF.

Announcement
In accordance with the AIM Rules - Guidance for Mining and Oil & Gas Companies,
the information contained in this announcement has been reviewed and approved by
John O'Sullivan, Exploration Manager of Providence Resources P.l.c. John
O'Sullivan is a Geology graduate of University College Cork and holds a Masters
in Geophysics from The National University of Ireland, Galway. John also holds a
Masters in Technology Management from the Smurfit Graduate School of Business at
University College Dublin and is presently completing a dissertation leading to
a PhD in Geology at Trinity College, Dublin. John is a Fellow of the Geological
Society and a member of the Petroleum Exploration Society of Great Britain. He
has 20 years experience in the oil and gas exploration and production industry
and is a qualified person as defined in the guidance note for Mining Oil & Gas
Companies, March 2006 of the London Stock Exchange.


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