Providence agrees to farm-out interest in Spanish Point gas project

Providence, the oil and gas exploration and production company, has agreed its first farm-out deal with Challenger Minerals (Celtic Sea) Ltd, a subsidiary of GlobalSantaFe Corporation on its Spanish Point Project in the Porcupine Basin, off the west coast.

Under the terms of the deal, CMCSL will take a 10% interest in the Spanish Point Project, leaving Providence and its partner Sosina with 72% and 18% stakes, respectively.

The deal is subject to approval from the Minister for Communications, Marine and Natural Resources.

Meanwhile, further farm-out discussions continue with other third parties, according to Providence.