Providence Resources granted two year extension to Barryroe licence
Providence Resources, the Irish based oil and gas exploration company, has been granted a two year extension to its Standard Exploration Licence (“SEL”) 1/11 that contains the Barryroe oil accumulation.
SEL 1/11 is operated by Exola DAC, a wholly-owned Providence subsidiary, on behalf of its partner Lansdowne Celtic Sea, collectively referred to as the "Barryroe Partners".
The area lies in approximately 100 metre water depth in the North Celtic Sea Basin and is around 50 km off the south coast of Ireland.
Barryroe Partners has been granted a two year extension to the term of the first phase of SEL 1/11 to July 2019 and overall term to July 2021, subject to the Barryroe Partners carrying out a work programme that includes the evaluation of newly reprocessed 3D seismic data together with an assessment of the Jurassic and Triassic exploration potential of the licence area.
"We are very pleased to be granted these extensions to the Barryroe licence, which provides additional security of tenure whilst we continue the farm-out process," Tony O’Reilly, Chief Executive of Providence, said.
He went on to say that the Barryroe partners are in dialogue with a number of parties regarding advancing the appraisal of Barryroe through to first oil.
"The extension work programme includes evaluating the deeper exploration potential of the licence, which offers exciting upside, over and above the substantial resources already identified in Barryroe," Mr O’Reilly said.
In a good week for the company, Providence announced yesterday that it had commenced drilling at its Frontier Exploration Licence ("FEL") 2/14 located in the southern Porcupine Basin off the south-west of Ireland.
Drilling operations are expected to take between 45 and 60 days.