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Providence drilling plan on track

PROVIDENCE Resources yesterday reaffirmed its 2012 drilling plans as the company described 2011 as a "busy and productive year".

In its end-of-year statement, chief executive Tony O'Reilly said his company had carried out "widespread activity across all its functions and interests" and plans were now in place to up production from its current 900 barrels of oil equivalent per day to 1,500.

"Providence's year was defined by the successful launch of its major drilling programme offshore Ireland, representing an investment of upwards of $500m (€383m) by Providence and its partners," he said.

"The spudding of an appraisal well on the Barryroe oil discovery in November was a momentous occasion for the company and its shareholders.

"Whilst the drilling operations are still ongoing, we provided an interim update where we confirmed that we are geologically on prognosis, with the main oil-bearing reservoir objectives lying ahead of the drill bit."

Davy's Job Langbroek said: "The group has a substantial portfolio of oil and gas prospects offshore which we value at 919p per share."

Irish Independent