Providence to start drilling at Spanish Point in 2012

PROVIDENCE Resources is planning to start drilling at its much anticipated Spanish Point prospect in 2012, following seismic studies suggesting the licence is likely to become a commercial development.

The Irish oil and gas exploration company — headed by Tony O’Reilly Jnr — owns a 56% stake in the site, which is located off the west coast of the country, and which could hold a peak production capacity of 72,000 barrels of oil equivalent per day (boepd) which counts both oil and gas capacity.

The Spanish Point news follows on from Providence’s recent announcement that its Dalkey Island prospect, off the east coast, could potentially contain up to 870 million barrels of oil. Speaking yesterday, Mr O’Reilly said that the latest news spells positive news for the Irish exploration industry.