Saturday 20 April 2019

Providence results support the 'potential presence' of a working petroleum system off Irish coast

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Ellie Donnelly

Ellie Donnelly

Providence Resources has said that initial results from a site survey off the Irish coast support the "potential presence" of a working petroleum system.

The site survey on Frontier Exploration Licence (“FEL”) 6/14 contains the Newgrange Prospect and is situated in around 1,000 m water depth being about 260km off the south-west coast of Ireland.

In a statement today the Irish oil and exploration company confirmed that an initial analysis of the seabed data over the proposed Newgrange well location has confirmed the presence of more than 100 seabed pockmark features.

The company said that there are a number of reasons why seabed pockmark features are present and these seabed pockmark features are interpreted by the group to be the result of fluid seepage from the underlying geology. 

"We are pleased to confirm the safe and successful completion of Newgrange site survey operations," Dr John O’Sullivan, technical director of Providence, said.

"The initial results support the potential presence of a working petroleum system in the Newgrange prospect area.  We are especially pleased with the results as we had hoped to see some evidence of fluid seepage given the shallow nature of the Newgrange prospect." 

The group, together known as the Newgrange Partners, also confirmed that discussions in relation to a potential farm-out of equity in the Newgrange licence to third parties are continuing.

"We are also continuing to liaise with interested potential co-venture partners and these new data will no doubt provide further momentum to those discussions."

The Newgrange site is operated by Providence, on behalf of its partner Sosina Exploration, which has a 20pc stake.

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