Providence mulls drilling challenge

PROVIDENCE Resources is looking at a number of new drilling opportunities in the Gulf of Mexico, following the recommencement of production in its offshore US operations after the completion of post-hurricane repair work.

The Dublin-headquartered oil and gas exploration company, which is headed up by Tony O’Reilly Jnr, yesterday announced that production has re-started at its Ship Soal 253 field in the area, after hurricane-related repairs. The two wells at Providence’s High Island field are also expected to start producing in the second half of this year. Two hurricanes — Gustav and Ike — seriously impacted on oil and gas production in the Gulf of Mexico in late 2008. The Irish firm’s Ship Soal asset has been shut ever since.

Mr O’Reilly said that the re-commencement is a welcome boost to oil production, “at a time when oil prices are trading in the $65-$70 per barrel price range.”