Providence Resources confident over Barryroe progress

The company is currently awaiting Government approval for the next stage of Barryroe’s development. 

Providence Resources' Barryroe site in the Celtic Sea

Irish oil and gas exploration company Providence Resources has said it is “happy” with the progress it is making regarding its flagship Barryroe project off the coast of Cork, and will update shareholders on its plans at its AGM next month.

This year’s annual shareholders’ meeting will also see current chairman Pat Plunkett step down from the company and be replaced by senior independent non-executive director James Menton.

Providence said it made a pre-tax loss of almost €10.4m last year, albeit slashed from a loss of nearly €27m in 2019.

The company also raised €4.8m through share sales and exercised warrants, with the money funding its working capital needs. 

All in all, Providence closed last year with a cash balance of €2.1m and no debt.

Providence is currently awaiting Government approval for the next stage of Barryroe’s development. 

Ultimately, the company is planning to begin a drilling round at Barryroe late next year.

Providence terminated a development partner deal for Barryroe in April, instead saying it would retain its 80% ownership of the field and lead the funding of the field’s development itself.

Speaking on the back of the latest results, chief executive Alan Linn said that decision marks “an important strategic moment for Providence”.

“We are convinced it is the best way to deliver the full value potential from our Celtic Sea acreage for shareholders whose ongoing support is recognised and appreciated,” he said.