Providence looking to sell 32% of Spanish Point asset

Providence Resources’ share price fell by over 9% early yesterday, after the Irish explorer formally launched its plan to sell up to 32% of its second largest asset, but delayed drilling plans.

The Tony O’Reilly Jr-headed exploration firm used yesterday’s Atlantic Ireland conference in Dublin to formally launch a much-anticipated farm-out process relating to its Spanish Point acreage, which it shares with Scottish firm, Cairn Energy.

Providence is a 58% stakeholder in the asset, which includes two frontier exploration licences and contains an estimated 340m barrels of oil equivalent, but is looking to sell off up to 32% of that holding, which would leave it with a minimum 26% interest.