Spanish Point Offshore Ireland - Operations Upd...

7 October 2009


                            SPANISH POINT
                          OFFSHORE IRELAND

                Operations Update - 3D Seismic Survey

*        Excellent resolution in initial fast-track 3D seismic data
  volume
o   Good structural continuity, simplifying any potential field
development
o   Improved imaging of the 35/8-2 Spanish Point gas discovery and
the 35/8-1 Burren oil discovery
*        Confirmation of potential for additional reservoir above
  that tested by the Spanish Point discovery well

Providence Resources P.l.c., the London (AIM) and Dublin (IEX) listed
oil and gas exploration and production company, is pleased to provide
an operational update on its Spanish Point licence (FEL 2/04), which
is located c. 200 km off the west coast of Ireland. This licence is
situated in the Main Porcupine Basin and is operated by Providence
(56%) on behalf of its partners, Chrysaor E&P Ireland Limited (30%)
and Sosina Exploration Limited (14%).

During the summer of 2009, Providence and its partners acquired a c.
320 sq km 3D seismic survey over the Spanish Point licence, which
contains the Spanish Point gas discovery and the adjacent Burren oil
discovery. Preliminary fast track data from this survey have now been
received by the partnership and the initial observations are detailed
below.

Spanish Point

Initial partially processed data indicate excellent resolution to
below reservoir level across the whole of the Spanish Point structure
and confirm the potential for further reservoir above that tested by
the 35/8-2 discovery well within the existing hydrocarbon bearing
block. In addition, the results suggest that fault density within the
Spanish Point structure is relatively low, which is positive in terms
of reservoir continuity and any ultimate future field development.

Burren

The 3D survey area also covered the adjacent 35/8-1 Burren oil
discovery which flowed high quality 34o API oil from one of a number
of thin Lower Cretaceous sands within a c. 400ft gross hydrocarbon
bearing interval. Previously, it had been difficult to map the
architecture of these reservoir sands however the 3D survey has
already provided a significant improvement in the imaging of the
Burren discovery which will allow the partnership to more fully
assess its commercial potential.

Commenting on the announcement, Tony O'Reilly, Chief Executive of
Providence said:

"We are very pleased with the initial findings from this 3D survey
which exceed our expectations. Whilst more work needs to be done to
fully evaluate these 3D seismic data, the initial results
substantially enhance our overall views on Spanish Point. Of
particular significance is the identification of additional potential
reservoir up-dip from the discovery well - this indicates significant
resource upside in terms of gas in place. We are also very encouraged
by the data over the Burren oil discovery".


Contacts:

Providence Resources P.l.c.
                                                      Tel: +353 (0)1
219 4074
Tony O'Reilly, Chief Executive

Powerscourt

Tel: [phone]
Rory Godson/Elizabeth Rous

Murray Consultants

Tel: [phone]
Pauline McAlester

Cenkos Securities
Plc
Tel: [phone]
Joe Nally/Nick Wells

Davy

Tel: + 353 (0)1 679 6363
Eugenee Mulhern/ Stephen Barry

NOTES TO EDITORS

About Providence
Providence Resources P.l.c. 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 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 United Kingdom (onshore), the
United States (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. 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.

About FEL 2/04
Providence holds a 56% interest and is operator of FEL 2/04, which
covers blocks 35/8 & 9 situated in the
Porcupine Basin, off the west coast of Ireland. The blocks are
situated in 300-400 metres of water and are
located approximately 200 km off the coast. There are two confirmed
discoveries in the licences, Spanish Point and Burren. Due to a
combination of low commodity prices, high cost of development and
lack of an indigenous gas market and infrastructure in the early
1980's, neither of projects were declared commercial and the licence
was subsequently relinquished. Providence applied for and became
operator of the Spanish Point licence in November 2004 - the licence
has a 15 year-term. At the licence applications stage, Providence was
joined by Sosina as a 20% shareholder. In 2008, Chrysaor farmed into
the licence. The current shareholdings are Providence (56%) Chrysaor
E&P Ireland Limited (30%) and Sosina Exploration Limited (14%).

Spanish Point - 35/8-2
Spanish Point was discovered in 1981 by Phillips Petroleum and a
consortium which included Atlantic Resources Plc, Providence's
predecessor company. The discovery well (35/8-2) flowed c. 1,000 BOPD
and c. 5 MMSCFGPD (1,800 BOEPD) from one of four Upper Jurassic
reservoir intervals within an overall c. 1,400 ft thick gross
hydrocarbon bearing section. Providence has since carried out a
geological and geophysical review which has supported and improved on
the 1981 post-drill analysis. Recent analysis based on the vintage 2D
seismic data suggests that the field has a median resource potential
of 1.4 TSCF and 160 MMBO (c. 400 MMBOE).

About Burren - 35-8/1
The Burren discovery well was drilled in 1978 by a group led by
Phillips Petroleum. The discovery well (35/8-1) flowed c. 730 BPOD of
high quality 34o API from one of a number of thin Lower Cretaceous
sands within a gross c. 400' hydrocarbon bearing interval. The
original Jurassic target for the well was never penetrated due to
increased down-hole pressures and drilling was terminated at the top
of the Jurassic. Imaging of the hydrocarbon bearing interval on 2D
seismic data has been difficult due to the presence of overlying
volcanic units and so the extent of the oil resource potential is
poorly understood. In addition, the underlying Jurassic target
remains as a potential future well target as it was subsequently
found to be hydrocarbon bearing in the follow-up 35/8-2 well.

Terms used in this Announcement
MMBO Millions of Barrels of Oil                         BOPD Barrels
of Oil per Day
BOEPD Barrels of Oil Equivalent per Day           MSCFGD Millions of
Standard Cubic Feet of Gas per Day
TSCF Trillion Standard Cubic Feet of Gas

Announcement
In accordance with the AIM Rules - Guidance for Mining and Oil & Gas
Companies, the information contained in this Announcement has been
reviewed by John O'Sullivan, Exploration Manager, Providence
Resources P.l.c. John holds a B.Sc. in Geology from University
College Cork, Ireland, an M.Sc. in Applied Geophysics from the
National University of Ireland, Galway and a M.Sc.in Technology
Management from The Smurfit School of Business at University College
Dublin. John is presently working part-time on a PhD dissertation at
Trinity College, Dublin. John has worked in the offshore business for
19 years and is a fellow of the Geological Society of London.
Definitions in this press release are consistent with SPE guidelines.

---END OF MESSAGE---




This announcement was originally distributed by Hugin. The issuer is 
solely responsible for the content of this announcement.