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Providence surges on new drilling

SHARES in Providence Resources surged 11.45pc to €2.53 yesterday after the company said it had started drilling another well at its field in southern England.

The company began drilling another well at the Singleton Field in Sussex on Wednesday. In a statement, Providence said drilling would take around 100 days.

The programme involves drilling a multi-lateral horizontal production well to the south west of the field, which could "potentially provide up to 500 barrels of oil equivalent per day (BOEPD) in additional production at Singleton.

The drilling will create a main well-bore 16,800 feet long, which should provide upwards of 4,000ft exposure to the oil.

A lateral is also planned, while the well has been designed to allow for future acid stimulation if needs be.

Company chief executive Tony O'Reilly said the new well would form a "central part" of the development of Singleton.

"This is a very busy and exciting time for Providence with this onshore drilling programme in the UK as well as the ongoing offshore drilling programme at the Barryroe oil discovery, offshore Ireland."

Irish Independent