Preliminary Results

18 April 2006
                     PROVIDENCE RESOURCES P.l.c.
                     PRELIMINARY RESULTS FOR THE
                     YEAR ENDED 31 DECEMBER 2006
Financial Highlights

  * Turnover up 45% at ¤1.997 million (2005: ¤1.376 million)
  * Profit for the year of ¤143,000 (2005: ¤106,000)
  * Successful post year-end Share Placing raises ¤25.774 million (US
    $34.6 million)


Recent Operational Highlights

  * Agreement reached to acquire majority stake in Singleton Oil
    Field
  * Additional acreage awarded to Providence, ExxonMobil and Sosina
    in the Goban Spur
  * New gas discovery/development at High Island A-268 in the Gulf of
    Mexico
  * Initial farm-out at Spanish Point announced
  * Successful seismic acquisition completed in the Porcupine Basin,
    Goban Spur, Celtic Sea and St George's Channel Basins
  * Successful farm-out to four companies in Celtic Sea, with Summer
    2007 appraisal drilling at the Hook Head project

Commenting on today's results, Tony O'Reilly Jnr, Chief Executive  of
Providence Resources P.l.c. said:
"The past year has been an exceptionally busy and exciting period for
Providence. Notable achievements include the announcement of our
intention to acquire the majority stake in the producing Singleton
Field (circa 600 BOPD) and our recent involvement in the gas field
development at High Island A-268 in the Gulf of Mexico, both clearly
demonstrating our commitment to increase our short term daily
production rates. Our initial farm-out of a strategic stake in the
Spanish Point project to CMI was a major step forward for Providence
in advancing our proposed syndicated appraisal drilling programme for
2008."
"The successful Placing of shares announced last week now means that
the Company is well financed to continue to advance its, now,
extensive portfolio of production, appraisal and exploration assets
in the UK, Ireland, Nigeria, and the Gulf of Mexico. The Company
looks forward to advancing on behalf of its shareholders its two key
appraisal / development projects for 2007; appraisal drilling at Hook
Head in the Celtic Sea, offshore Ireland and further appraisal
drilling at AJE, offshore Nigeria. Both of these projects contain
proven discoveries and both wells have been designed to establish the
commercial viability of the projects, with the objective of moving
forward to fast track development."
"With a very clear strategy, appropriate financing in place and,
importantly, the preparatory work done, we look forward to the future
with great excitement and enthusiasm."

Contacts:
Providence Resources P.l.c.
Tony O'Reilly Jnr., Chief Executive Tel: + 353 (1) 219 4074
Powerscourt Media
Victoria Brough Tel: + 44 (0) 207 250 1446
Murray Consultants
Pauline McAlester Tel: + 353 (1) 498 0300



FINANCIAL HIGHLIGHTS

Financial Year Results
Turnover for the year ended 31 December 2006 was ¤1,997,000 (2005:
¤1,376,000). All revenues for the year came from the Company's 20%
interest in the producing UK onshore Singleton oil field.
Revenues benefited from the higher oil price in 2006 with the average
oil price per barrel at US$65 compared with US$54 in 2005.
An operating profit of ¤133,000 was recorded in 2006 (2005: loss of
¤18,000 - after deducting ¤479,000 for once off AIM admission costs
and as re-stated for FRS 20). The profit on ordinary activities after
taxation was ¤143,000 (2005: ¤106,000 as re-stated for FRS 20),
reflecting the higher revenue offset by increased costs and lower
interest receivable. Shareholders' funds increased to ¤22,180,000 in
2006 (2005: ¤21,598,000 as re-stated for FRS 20).

Placing of 368.2 Million New Ordinary Shares
On 11 April 2007, the Company announced the successful placing of
368.2 million new ordinary shares at Euro 7 cents per share, raising
gross proceeds of approximately ¤25.774 million (US $34.6 million)
before expenses (the "Placing") through Cenkos Securities plc.
The proceeds of this Placing will be allocated to a number of
specific identified projects and uses including the appraisal
drilling of Hook Head in the Celtic Sea in Summer 2007; the ongoing
development of the Company's other Irish offshore assets; the
proposed appraisal drilling, via a fourth well on the AJE project in
Nigeria in late 2007 (subject to rig availability); additional
investment at the producing Singleton oil field, onshore UK; further
possible investments in potential oil and gas developments in the
Gulf of Mexico; and general working capital purposes.
Financial Facilities/Instruments
In 2006, the Company announced a ¤50 million financing facility with
the specialist energy bank, Macquarie Bank. This revolving credit
facility allows the Company to borrow up to ¤50 million of financing,
secured on any assets to be acquired and or developed in pursuit of
its objective to increase its daily oil (or oil equivalent)
production. In the period under review, the Company utilised ¤2.0
million of the facility drawn down for general financing purposes and
the initial investment in its High Island A-268 well in the Gulf of
Mexico.
The Company considers hedging an important risk management tool and
accordingly, the utilisation of hedging (be it commodity price,
currency and/or interest rates) is under active review. However, in
the specific period under review, no hedging contracts were
outstanding or entered into by the Company.


OPERATIONAL HIGHLIGHTS - PRODUCTION

Singleton (20% interest) - Onshore, United Kingdom
During 2006, the Singleton Field, in which the Company has a 20%
interest, produced an average of 535 BOPD, with the net production to
Providence being 107 BOPD. The successful drilling of two development
wells at Singleton in late 2005 resulted in an average, facilities
constrained, 25% increase in oil production relative to 2005. It is
expected that the proposed Singleton Compressed Natural Gas (CNG)
project will unlock value from the 200 BOEPD of associated gas
currently being produced. In addition, the CNG facility will also
allow increased oil production from existing and future development
wells. Further work continues to be carried out with the Operator,
Star Energy Group Plc, to evaluate methodologies to increase
production rates and financial returns from the Singleton Field.
Third party estimates suggest the Singleton Field contains 75 million
stock tank barrels of oil initially in place (STOIIP), and with less
than 4 million barrels having been recovered to date the Company
believes that there are opportunities to further enhance field
recovery rates.

Agreed Offer to Buy Majority Stake in Singleton
The success of the drilling programme at Singleton, coupled with the
increased involvement of Providence in field evaluation and
operations, was a contributing reason behind Providence's recent
announcement to acquire the majority stake in the Singleton Field
from Star Energy Group Plc. Subject to regulatory and other approval
and contract, the Providence interest in the Singleton Oil Field will
therefore increase from 20% to 99.125%. The remaining 0.875% of the
field is owned by Noble Resources.
The principal terms of the proposed transaction include a total cash
consideration of US $22 million to Star and Providence also agreeing
to a 50:50 joint venture on the proposed CNG (Compressed Natural Gas)
project at the Singleton site to capture the economic value of
associated gas production.
This is  an important  transaction for  Providence as  it allows  the
Company the  opportunity  to  substantially increase  its  daily  oil
production to  approximately 600  BOPD  (circa. 219,000  barrels  per
annum). This will,  in turn, ensure  a solid operating  cash flow  on
which to  build its  operations  and is  a significant  step  towards
reaching our stated objective of 2,000 BOEPD.

High Island A-268 (5% interest) - Gulf of Mexico, United States
In January 2007, the Company announced that, through a Club
consortium (the "CMI Club"), it was involved in a successful gas
discovery in the Gulf of Mexico. The partners involved immediately
elected to move towards field development with tie back to existing
infrastructure. Providence's net share of this 6.6 BSCFGE discovery
is 42 MBOE or a c.10% increase in the company's 2P reserves,
pre-Singleton transaction. Reservoir studies have suggested that this
well has the potential to produce at initial cumulative rates of
14-27 MMSCFGD (90-180 BOEPD net to Providence), however initial
off-take rates are likely to be more conservative (8-15 MMSCFGD), as
this will maximise reserve recovery. The Providence share of costs
will be financed from existing facilities, (circa $400,000 Providence
share) and the development timetable projects first gas to be
produced in August/September 2007. A second well is planned to be
drilled on the High Island A-268 block during Summer 2007 targeting a
further 8 BSCFGE, which would, on success, be tied back to the new
High Island A-268 infrastructure. Additionally, further
production/near production opportunities in the Gulf of Mexico
continue to be evaluated through the CMI Club.


OPERATIONAL HIGHLIGHTS - DEVELOPMENT/APPRAISAL

Hook Head (40% interest) - Celtic Sea, Ireland

  * Petrolia Rig Secured
  * Drilling Partnership assembled via farm out
  * Crestal well to be drilled summer 2007

In September 2006, the Company announced that it had successfully
secured a 50-day slot on the Petrolia Rig for Summer 2007 drilling in
the Celtic Sea. Subsequently, the Company announced a series of
farm-outs to industry partners, diluting its equity stake in the
Licence from 95% to 40%. The terms of these farm-outs include
re-payment for past costs (including the autumn 2006 seismic
programme) and a commitment to fund the pro rata share of all future
licence, drilling/testing and development costs. A further key
component of this farm-out was that it is a regional farm-out, and
not project specific. The farminees (comprising Challenger Minerals
Inc, PF Atlantic Petroleum, ForestGate Resources Inc and Dyas BV) are
investing in a number of proven discoveries in the region.
At the time of assembling the partnership, no decision had been taken
on the drilling target but in March 2007, the Company announced that,
in conjunction with its partners, it had elected to drill an
appraisal well on the crest of the Hook Head prospect. The Hook Head
structure is a large mid-basinal anticline where two previous wells
have successfully encountered hydrocarbon-bearing sands. The original
IRL50/11-1 discovery well, which was drilled by Marathon in 1971,
logged c. 100 feet of hydrocarbons in five sandstone units of Lower
Cretaceous age. The well was not flow-tested due to severe
operational issues at the time. The subsequent IRL50/11-2 appraisal
well, which was drilled by Marathon in 1975, was drilled as a
delineation well at the down-dip edge of the structure.
Post-drill mapping  by  Marathon  indicated that  the  crest  of  the
structure is located  to the north-east  of the IRL50/11-1  discovery
well, which  is further  supported by  the seismic  data acquired  by
Providence in 2006. This crestal location  is some 2 km northeast  of
the IRL50/11-1 well and  is thought to be  c. 70 metres  structurally
higher than the  original discovery  well. The  most recent  in-house
volumetric estimates  suggest  that  the Hook  Head  discovery  could
contain contingent resources of up to c.70 MMBO or 250 BSCFG.
Sub-surface work continues on the other prospects contained within
Licence 2/07 (Ardmore, Helvick and Dunmore) and subject to the
results of the Hook Head appraisal well, certain integrated
development options may be pursued.

AJE, OML 113 (7.04% Interest) - Offshore West Nigeria

  * AJE 3 post well analysis completed
  * Independent Reserve Audit completed
  * Plans being finalised for AJE 4 well and fast track development
    options

The AJE 3 well offshore Nigeria was the third well drilled on the AJE
Field in OML 113, offshore Lagos, Nigeria and was spudded in August
2005. Whilst the well achieved its geological objectives, confirming
the presence of both oil and gas in both target reservoir intervals,
it came in deep to geological prognosis, which prompted further
seismic evaluation. The partners carried out 3-D seismic reprocessing
to link this well with the existing two discovery wells (AJE 1 and
AJE 2), as well as identifying a potential location for the AJE 4
appraisal well.
The AJE 3 post well analysis was completed and NSAI (Netherland,
Sewell & Associates Inc.) were asked to perform an Independent
Reserve Audit Report. This report confirms a range of contingent
resources from 117 MMBOE (P90) to 433 MMBOE (P10).
As a result of these positive results, the partners elected to move
towards the future drilling of AJE 4 in 2007, subject to rig
availability. The partnership, comprising the Operator, Yinka
Foliwayo, Providence, EER and CMI (GlobalSantaFe) are currently
attempting to secure a rig for the drilling of AJE 4 later this year.
It is envisaged that such appraisal drilling of AJE 4 will take place
to the north-east of AJE 2, in a crestal location. The necessary
pre-drilling work of environmental studies is currently being carried
out. Further news regarding the next steps for AJE is expected in the
coming months.

Spanish Point (72% interest) - Porcupine Basin, Ireland

  * Farm out process ongoing
  * Farm in by CMI, Inc (GlobalSantaFe)
  * Drilling Syndicate

In the Main Porcupine Basin, work on the Spanish Point project
continues to advance. A proven discovery, Spanish Point, was
successfully drilled and tested in 1981 by a consortium that included
a predecessor company to Providence. Due to prevailing economic
circumstances and a lack of gas infrastructure in place at that time
in Ireland, the project was not advanced. Some 25 years later,
economic conditions and advances in infrastructure in Ireland have
changed and this had led Providence to apply to the Irish Government
for an exploration licence. A frontier exploration licence was
awarded in November 2004.
Over the past 2 years, the Company has carried out extensive
pre-development work including reservoir and development engineering
with internationally recognised third party companies. These studies
show that Spanish Point is an economically feasible and robust
project with estimated 2C contingent resources of 1.4 TSCF and 160
MMBO, with further upside potential from sands not previously tested
as well as other targets previously not drilled. Providence has now
prepared an extensive study on the development options for the
anticipated 30-year life of this significant gas condensate field.
At the beginning of May 2006, Providence opened the Spanish Point
data room to industry participants to facilitate future commercial
discussion on potential drilling. Noting the substantial investment
that would be required for development, your Company believes the
best means to demonstrate the economic potential of Spanish Point is
to drill an appraisal well offsetting the original discovery well
(IRL35/8-2) and to then stimulate/test the well which will prove up
volumes, flow rates & recovery factors in the reservoir.
Accordingly, Providence is currently working on assembling a drilling
syndicate with the objective of drilling in 2008 (subject to rig
availability and syndication). GlobalSantaFe, through its subsidiary
CMI, have recently agreed to take a 10% stake and discussions
continue with other potential industry partners. Separately,
Providence is working towards having all the necessary suppliers
(including rig equipment) in place to facilitate appraisal drilling
in the summer of 2008.

Pegasus, Dionysus & Apollo (100% interest) - St George's Channel,
Ireland
In March, Providence announced that  it had been awarded Licence  No.
1/07 as a successor licence to Licencing Option 03/7, which  contains
the Pegasus and Dionysus  exploration prospects. These prospects  are
located to the north of the Marathon operated Dragon gas field.  Also
on trend  with  other discoveries  in  the Celtic  Sea,  this  region
remains highly prospective and  Providence continues discussion  with
industry  participants  on  both  individual  as  well  as   regional
opportunities.
To the west of Dionysus and Pegasus, lies the large untested Apollo
exploration prospect. Held under Licensing Option 05/3, which was
recently the subject of a 6-month licensing extension. This prospect
is also being marketed to the industry individually as well as part
of the larger St George's Channel regional opportunity.
Blackrock (40% interest) - Celtic Sea, Ireland
In November, Providence successfully carried out an OBS (Ocean Bottom
Seismic) Survey over the  Blackrock oil discovery. The  independently
analysed data  supports the  post-drill  interpretation of  the  2004
Blackrock well  and indicates  the potential  presence of  additional
hydrocarbons between the existing well control points. In addition to
the OBS  data, multi-channel  reflection seismic  data were  acquired
along two transects over the crest of the Blackrock structure.  These
lines indicate  that  the  crestal  area  is  larger  than  had  been
previously mapped and also indicates  the possible presence of a  gas
chimney. These encouraging data will be factored into the  assessment
of future drilling plans and locations.
In addition, the Company has continued to attract industry interest
in to Licence No. 3/07, culminating in a multiple farm-out to a
consortium (comprising Challenger Minerals Inc, PF Atlantic
Petroleum, Forest Gate Resources Inc and Dyas BV), thereby reducing
Providence's equity percentage to 40%.
West Lennox/Crosby (10% and 25% interest) - East Irish Sea, United
Kingdom
In late 2005, the Company was a member of a consortium that drilled a
well on the south-west flank of the BHP Billiton operated Lennox
Field, which is presently producing in the Liverpool Bay area of the
East Irish Sea Basin. On completion of drilling operations, the well
was declared as having "tight hole" status by the Operator (CMI) and
remains so. Further geological work continues in this licence area
(Licence P.099), including on the adjacent Crosby prospect
(Providence 10% interest), which is estimated by third parties to
contain prospective resources of c. 80 BSCF.
In February  2007,  the  Company  announced  that  had  been  awarded
part-blocks 110/9b (Split) and 110/14b  (Split) in the Morecambe  Bay
area of the East Irish Sea,  under the United Kingdom's 24th  Seaward
Licensing  Round.  These  part-blocks  adjoin  Providence's  existing
licence interest  (as  above), which  contains  the West  Lennox  and
Crosby prospects. Under the terms of the award, Providence will  take
a 25% stake  in a  consortium comprising  Challenger Minerals,  Inc.,
First Oil Expro, Dyas Ltd and PF Atlantic Petroleum.

Relinquishment of North Sea interests
Under the terms of the UK 23rd Seaward Round, the Company held a 25%
interest in Block 210/19(p) and a 25% interest in Block 9/9d. Under
the terms of the UK Seaward Round, a well commitment had to be made
to retain an interest in these blocks within a 2-year period. These
blocks had been the subject of a farm-out campaign being managed by
the operator, Midmar Energy Limited. As no industry participation was
forthcoming by the 31 December 2006 deadline, the partners elected to
relinquish their respective interests.

Joint Study Report with Island Oil & Gas
In September 2006, Providence  announced that it  had agreed to  work
together with  Island Oil  & Gas  Plc to  develop a  common  strategy
report for the joint  development of both  companies' Celtic Sea  oil
assets based on  a shared floating  production facility. This  report
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.


OPERATIONAL HIGHLIGHTS - EXPLORATION

Dunquin (16% interest) - Porcupine Basin, Ireland
In February 2006, Providence announced that it had reached  agreement
on a farm-out programme  with ExxonMobil on  its Dunquin Prospect  in
the Porcupine Basin, off the west  coast of Ireland. Under the  terms
of the farm-out agreement,  ExxonMobil will earn  an 80% interest  in
the prospect  for  investing  in  an  extensive  success  based  work
programme, which  provides  for  seismic  surveys  and  drilling.  In
return, Providence's stake will move to 16% whilst its other partner,
Sosina Exploration Limited, will move to 4%.
An initial phase of  this farm-out programme  was the acquisition  of
1,500km 2-D long offset seismic survey which Providence, as Operator,
successfully acquired in summer 2006. This very high quality  seismic
data, which was  licenced from Fugro  Data Surveys AG,  has now  been
processed, and interpretation and integration with the existing  data
is ongoing. The results  of this work will  better define the  future
work programme on the Dunquin Prospect.
Whilst confidentiality conditions between all the partners  restricts
Providence from  commenting specifically  about  the results  of  the
survey processing and the overall future work programme, the  Company
is very  pleased with  progress to  date and  views the  future  with
optimism.
In addition to the specific farm-out agreement over the Dunquin
prospect, ExxonMobil, Providence and Sosina have also entered into an
Area of Mutual Interest (AMI) Agreement over the South Porcupine
Basin, covering an area of some 270 blocks. Currently, most of this
extensive area is not open for licensing, but it is understood that
the terms for the Porcupine Licensing Round will be announced later
in the year by the Minister for Communications, Marine and Natural
Resources.

Goban Spur (16% interest) - Goban Spur Basin, Ireland
As a further endorsement of the potential of the Atlantic Margin,
Providence was pleased to announce in November 2006 that, in
conjunction with its Dunquin partners, ExxonMobil (80%) and Sosina
(4%), of the award of 15 new blocks under Licensing Option 06/1 in
the "Goban Spur" area, 150 km south of Dunquin. Covering an area in
excess of 4,000 sq. kms., this Licensing Option has an initial term
of 3 years and is operated by Providence.
As part of the work programme, in support of the application for this
Licencing Option, the partnership agreed to carry out a 500 km long
offset 2-D seismic survey over the area, together with gravity and
magnetic data acquisition. This work has now been successfully
completed and the data processing presently nears completion.


ENERGY AND THE ENVIRONMENT
The Company believes that it has a role to play in addressing energy
supply in an environmentally responsible manner. In addition to its
ongoing exploration and development initiatives, which are carried
out in compliance with all relevant environmental rules and
regulations, the Company is also a contributing participant to the
Irish Government sponsored initiative on new energy sources,
including methane gas hydrates.


OUTLOOK
The Company is expecting a period of high activity in 2007 with an
active drilling programme, the acquisition of producing assets and
the completion of ongoing farm-out discussions on a number of its
assets. The Company continues to actively evaluate new opportunities,
in both existing areas in which we operate and new territories that
fit the Company's stated strategy of having a balanced portfolio of
production, development/appraisal and high impact exploration assets.
We re-iterate the belief that this portfolio management strategy
gives Providence shareholders a unique investment platform. This
strategy, coupled with the increased and stable commodity price
environment coupled with the ever-growing global need for secure and
reliable sources of energy we believe means that Providence
shareholders can look to the future with real optimism.

Tony O'Reilly Jnr,
Chief Executive
18 April, 2006

About Providence
Providence Resources P.l.c. is an independent oil and gas exploration
company traded  on the  AIM (London)  and IEX  (Dublin) markets.  The
Company was founded in 1997, but  with roots going back to 1981  when
its 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), the Gulf of Mexico
(USA) and West Africa  (offshore Nigeria). Providence's portfolio  is
balanced between  production, appraisal  and exploration  assets,  as
well as being diversified geographically.
Recent key corporate announcements include:

     * Placing of 368.2 million new Ordinary Shares to raise ¤25.774
       million (US$34.6 million) (announced April 11th, 2007)
     * Extension to Apollo Licensing Option 05/03, St. George's
       Channel (announced April 5th, 2007)
     * Acquisition of Majority Stake in Singleton (announced April
       2nd, 2007)
     * Ireland 2007 Celtic Sea Drilling Programme (announced March
       30th, 2007)
     * Celtic Sea Licence 3/07, OBS Survey & 3 Farm ins (announced
       March 28th, 2007)
     * Initial Farm out at Spanish Point (announced March 15th, 2007)
     * Celtic Sea Farm-out to Forest Gate Resources Inc. (announced
       Feb 23rd, 2007)
     * Celtic Sea Farm-out to DYAS and Atlantic Petroleum (announced
       Feb 7th, 2007)
     * Grant of Irish Standard Exploration Licence 1/07 & 2/07
       (announced Feb 6th, 2007)
     * Award of Licence in UK 24th Seaward Round (announced Feb 2nd,
       2007)
     * Providence makes oil and gas discovery in Gulf of Mexico
       (announced Jan 25th, 2007)
     * Award of Goban Spur Licencing Option with ExxonMobil & Sosina
       (announced Nov 1st 2006)
     * Secures Rig Slot for 2007 (announced Sept. 25th, 2006)
     * 20% Farm-out Deal agreed with CMI on Celtic Sea Licences
       (announced Sept 5th, 2006)
     * Completion of Dunquin Seismic (announced Aug. 8th, 2006)
     * Increased production at its Singleton oilfield (announced
       March 7th, 2006)
     * Dunquin Farm-out to ExxonMobil (announced on Feb 13th, 2006)
       and
     * ¤50 million Revolving Credit Finance Facility with Macquarie
       (announced on Feb 2nd, 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 all
available from Providence's website at www.providenceresources.com
This Prelimary Announcement of Results for the Year Ended 31 December
2006 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 both the
Energy Institute and the Petroleum Exploration Society of Great
Britain. He has 18 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.
Glossary of technical terms used in this announcement

ALL FIGURES QUOTED ARE GROSS FIGURES, UNLESS OTHERWISE STATED
STOIIP Stock Tank Oil Initially In Place
GIIP Gas Initially In Place
BOPD Barrels of Oil Per Day
MMSCFGD Million Standard Cubic Feet of Gas Per Day
BOE Barrels of Oil Equivalent (1 BOE = 6,000 SCFG)
MBOE Thousands of Barrels of Oil Equivalent
MMBO Millions of Barrels of Oil
MMBOE Millions of Barrels of Oil Equivalent
SCFG Standard Cubic Foot of Gas
MSCFG Thousand Standard Cubic Feet of Gas
BSCFG Billion Standard Cubic Feet of Gas
BSCFGE Billion Standard Cubic Feet of Gas Equivalent
TSCFG Trillion Standard Cubic Feet of Gas
Prospective Resources Those quantities of petroleum which are
estimated as of a given date to be potentially recoverable from
undiscovered accumulationsContingent Resources Those quantities of
petroleum estimated as of a given date to be potentially recoverable
from known accumulations by application of development projects but
which are not currently considered to be commercially recoverable due
to one of more contingencies. Contingent resources are a class of
discovered recoverable resources
2C Resources The best estimate scenario of contingent resources
Recoverable reserves Those quantities of petroleum anticipated to be
commercially recoverable by application of development projects to
known accumulations from a given date forward under defined
conditions. Reserves must further satisfy four criteria, they must be
discovered, recoverable, commercial and remaining (as of a given
date) based on the development project applied
2P Reserves The sum of proved plus probable reserves
P10 A 10% cumulative probability of exceeding or equaling a quantity
P90 A 90% cumulative probability of exceeding or equaling a quantity
SPE/WPC/AAPG/SPEE Petroleum Resource Management System 2007 has been
used in this announcement
PROVIDENCE RESOURCES P.l.c.

Group Profit and Loss Account
For the year ended 31 December 2006
                                                       2006      2005
                                                       ¤000      ¤000
Turnover - continuing operations                      1,997     1,376
Cost of sales                                         (549)     (316)
                                                   -------- ---------
Gross Profit                                          1,448     1,060
Operating expenses                                  (1,315)   (1,078)
                                                   -------- ---------
Operating profit/(loss) - continuing operations         133      (18)
Interest receivable and similar income                   78       138
Interest payable and similar charges                   (68)      (14)
                                                  ---------  --------
Profit on ordinary activities before taxation           143       106
Tax on profit on ordinary activities                      -         -
                                                   -------- ---------
Profit for the financial year                           143       106
                                                      =====     =====
Earnings per ordinary share, basic and diluted        0.007     0.005
(cents)
                                                     ======    ======

PROVIDENCE RESOURCES P.l.c.

Group Balance Sheet as at 31 December 2006
                                                      2006       2005
                                                      ¤000       ¤000
Fixed Assets
Oil and gas interests                               24,197     21,306
Tangible assets                                        167         59
                                                 ---------    -------
                                                    24,364     21,365
                                                 ---------    -------
Current Assets
Debtors                                              2,479        805
Cash at bank and in hand                             4,481      2,992
                                                ---------- ----------
                                                     6,960      3,797
Creditors: Amounts falling due within one year     (2,738)    (1,940)
                                                ----------   --------
Net Current Assets                                   4,222      1,857
                                                ----------    -------
Total Assets Less Current Liabilities               28,586     23,222
Creditors: Amount falling due after more than      (4,780)        (2)
one year
Provision for Liabilities and Charges              (1,626)    (1,622)
                                                 ---------    -------
Net Assets                                          22,180     21,598
                                                     =====       ====
Capital and Reserves
Called up share capital                             13,785     13,784
Share premium                                       30,956     30,931
Capital conversion reserve                             623        623
Profit and loss account                           (24,304)   (24,447)
Foreign currency translation reserve                   722        627
Share based payment reserve                            398         80
                                                 ---------  ---------
Shareholders' Funds                                 22,180     21,598
                                                     =====     ======

PROVIDENCE RESOURCES P.l.c.

Group Cash Flow Statement
For the year ended 31 December 2006
                                                       2006      2005
                                                       ¤000      ¤000
Net cash inflow/(outflow) from operating                315     (285)
activities
                                                   -------- ---------
Returns on investments and servicing of finance
Interest received                                        78       138
Interest paid                                          (67)       (2)
                                                   -------- ---------
                                                         11       136
                                                   -------- ---------
Taxation                                                  -         -
                                                   -------- ---------
Capital expenditure and financial investment
Expenditure on oil and gas interests                (1,630)   (7,330)
Capitalisation of operating costs                   (1,853)     (959)
Purchase of tangible fixed assets                     (160)      (33)
                                                   -------- ---------
                                                    (3,643)   (8,322)
                                                  ---------  --------
Net cash outflow before use of liquid
resources and financing                             (3,317)   (8,471)
                                                   -------- ---------
Financing
Issue of ordinary share capital                           1     4,203
Share premium                                            25         -
Revolving credit facility                             5,000         -
Loan issue costs                                      (220)         -
Foreign exchange                                          -      (24)
                                                   -------- ---------
                                                      4,806     4,179
                                                   -------- ---------
Increase/(Decrease) in cash                           1,489   (4,292)
                                                      =====     =====

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