Providence gets extension on licensing option

Providence Resources has been granted a 12-month extension on its Blackrock Licensing Option to the end of 2004 by the Department of Communications, Marine and Natural Resources.

The company has estimated that Blackrock prospect could contain an unrisked potential recoverable volume of up to 613 million barrels of oil.

The Department of the Marine also increased Providence's real 'extent' from about 600 sq kms to 1,000 sq kms.

A supplemental work programme has been agreed involving reservoir geophysics, productivity and geochemistry primarily focussed on the newly identified prospects and leads.

The Licensing Option, which is operated by Providence, lies in the North Celtic Sea Basin off the south coast of Ireland and is adjacent to the Kinsale Head (Marathon) and Seven Heads (Ramco) gas fields.

During the 2003 initial term of the Licensing Option, Providence and Midmar identified significant hydrocarbon potential in five separate reservoir zones within the Blackrock structure.

In addition, a number of nearby prospects and leads were identified, which have now been encompassed within the enlarged area of the Licensing Option extension thereby enhancing the Blackrock core area.