PROVIDENCE RES. Providence Resources plc : Barryroe Well Testing Update

 
TIDMPVR 
 
23(rd) March 2012 
Embargo 7am 
 
 
                          BARRYROE WELL TESTING UPDATE 
 
 
  * UPPER GAS BEARING RESERVOIR PROVES TO BE HIGHLY PRODUCTIVE 
  * WELL NOW SUSPENDED AND RIG DEMOBILISATION UNDERWAY 
 
 
Providence Resources P.l.c., ('Providence') the London (AIM) and Dublin 
(ESM) quoted oil and gas exploration and production company is pleased to 
provide a final testing update from its Barryroe well, offshore southern 
Ireland.  The 48/24-10z Barryroe appraisal well is located in c. 100 metre water 
depth, c. 50 kilometres offshore Ireland in Standard Exploration Licence (SEL) 
1/11 in the North Celtic Sea Basin. Providence (80%) operates SEL 1/11 on behalf 
of its partner Lansdowne Oil & Gas plc (20%). 
 
Following the successful testing of the lower basal 24' net oil bearing 
interval, which flowed c. 3,514 BOPD & 2.93 MMSCFGD (c. 4,000 BOEPD, see RNS 
announcement of March 15(th)), an additional 17' thick net gas bearing section 
was perforated to test the potential of the upper part of the basal Wealden 
sandstone section. The surface test spread equipment was optimized for the lower 
oil zone test and was therefore equipment constrained on this gas zone test, 
which achieved highly productive flow rates of c. 7 MMSCFGD & 1,350 BOPD (c. 
2,516 BOEPD) through a restricted 36/64" choke, with a flowing well head 
pressure of c. 1,700 psig. The productivity of the gas bearing interval far 
exceeded expectations and thereby constrained the ability to fully open the well 
up to its maximum potential. Preliminary modeling of the pressure data indicates 
that a co-mingled flow rate of c. 17 MMSCFGD & 3,350 BOPD (c. 6,183 BOEPD) at a 
flowing well head pressure of c. 500 psig is achievable. Well suspension 
operations are now complete and the rig will be demobilized to the UK 
imminently. 
 
Commenting on this further successful test, Tony O'Reilly, CEO of Providence 
said: 
 
"We are very pleased to confirm that the gas zone was far more productive than 
we had anticipated. The well lies just 3 km from installed pipeline 
infrastructure which may provide a future route to monetize any surplus Barryroe 
gas production. It is particularly pleasing to note that both the oil and gas 
zones have far exceeded our pre-drill expectations, both in terms of reservoir 
development and more importantly, oil and gas flow rates. I once again wish to 
express our thanks to all involved in this testing programme, which has 
demonstrated such a substantial cumulative flow rate potential from this 
vertical Barryroe appraisal well." 
 
 
CONTACTS: 
 Providence Resources Plc             Tel: [phone] 
 Tony O'Reilly 
 
 
 Powerscourt                          Tel: [phone] 
 Rory Godson / Lisa Kavanagh 
 
 
 Murray Consultants                   Tel: [phone] 
 Pauline McAlester / Pauline Dooley 
 
 
 Cenkos Securities Plc                Tel: [phone] 
 Adrian Hargrave / Nick Wells 
 
 
 J&E Davy                             Tel: + 353 (0)1 679 6363 
 Eugenee Mulhern / Stephen Barry 
 
 
 
ABOUT PROVIDENCE 
Providence Resources Plc is an Irish based oil and gas exploration company whose 
shares are traded on the AIM market in London and on Dublin's ESM market. 
Providence's portfolio of production, appraisal and exploration assets includes 
licence interests in Ireland (offshore) and the United Kingdom (onshore & 
offshore). In 2011, Providence announced plans to invest with its partners 
upwards of $500 million in the drilling of a number of exploration and 
development wells in 6 different basins offshore Ireland. This multi-year 
programme represents the largest drilling campaign ever carried out offshore 
Ireland. www.providenceresources.com. 
 
 
ABOUT BARRYROE 
The Barryroe licence lies directly below the Seven Heads Gas Field and has 
previously been successfully tested at flow rates of 1,300 and 1,500 BOPD from 
the Middle Wealden and 1,600 BOPD from the basal Wealden, from three exploration 
and appraisal wells. The reservoir sands are of Cretaceous Middle and Lower 
Wealden age located between c. 4,500' TVDSS and 7,550' TVDSS. The oil is light 
(30 to 42(o) API) with a wax content ranging from 12 to 22 per cent. Providence 
holds an 80% interest in the licence and operates on behalf of its partner 
Lansdowne Oil and Gas Plc (20%). 
 
 
 
In 2010 a third party audit carried out by RPS Energy for Lansdowne Oil & Gas 
plc indicated combined Middle and Lower Wealden P50 and P10 STOIIP estimates for 
Barryroe of 373 MMBO and 893 MMBO, respectively. The corresponding 2C and 3C 
Barryroe technically recoverable contingent resources are 59 MMBO and 144 MMBO, 
respectively. 
 
 
 
In 2011, Providence entered into a MOA with Shell Trading and Marketing to agree 
an oil off-take agreement for future Barryroe oil production. 
 
 
 
GLOSSARY 
 TVDSS     True Vertical Depth Subsea 
 
 (o) API   Measurement Of Oil Gravity 
 
 BOPD      Barrels of Oil per Day 
 
 BOEPD     Barrels of Oil Equivalent per Day 
 
 MMSCFGD   Millions of Standard Cubic Feet of Gas per Day 
 
 SCF/STB   Standard Cubic Feet/Stock Tank Barrel 
 
 PSIG      Pounds per Square Inch Gauge 
 
 
 
ANNOUNCEMENT 
This announcement has been reviewed by John O'Sullivan, Technical Director, 
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 20 years and is a fellow of the Geological 
Society of London and member of The Petroleum Exploration Society of Great 
Britain. Definitions in this press release are consistent with SPE guidelines. 
 
SPE/WPC/AAPG/SPEE Petroleum Resource Management System 2007 has been used in 
preparing this announcement. 
 
 
 
 
 
 
 
 
This announcement is distributed by Thomson Reuters on behalf of 
Thomson Reuters clients. The owner of this announcement warrants that: 
(i) the releases contained herein are protected by copyright and 
    other applicable laws; and 
(ii) they are solely responsible for the content, accuracy and 
     originality of the information contained therein. 
 
Source: Providence Resources plc via Thomson Reuters ONE 
[HUG#1596718]