Providence hails update on Drombeg prospect

An updated technical study of the Drombeg exploration prospect off the west coast — which is 80% owned by Providence Resources — suggests that the field is larger and of more significance than initially thought.

Providence — partnered at Drombeg with Sosina Exploration — is not due to commence drilling at the field in the Porcupine Basin until the second half of next year at the earliest.

The company has made no firm decision as to when drilling might commence at Drombeg, but is thought to have a preference to see the outcome of drilling at the adjacent Dunquin field first.

Dunquin, which is operated by ExxonMobil, is due for drilling during the second half of next year.

On the Drombeg prospect, Providence’s management is understood to be keen to introduce a joint-venture partner to help with the drilling costs, similar to what it has planned for a number of its offshore Irish assets including the recent successful find at Barryroe near Cork.

This, however, will depend on the results from Dunquin.

The technical update at Drombeg was undertaken by international geoscience company, Ikon Sciences, which is partly owned by Tullow Oil, on behalf of Providence.

It will be formally presented at the upcoming third Central and North Atlantic Conjugate Margins Conference to be held at Trinity College Dublin later this month.

Providence is not yet viewing Drombeg as a proven oil or gas discovery. However, it is hailing the update as encouraging as it provides positive indications of a hydrocarbon presence, thus considerably “derisking” the prospect.

Elsewhere, in a briefing paper on Ireland’s offshore oil and gas potential, the Irish Offshore Operators’ Association urged the Government to help increase the level of exploration activity in Irish waters by upping promotion of the country to the international oil and gas industry, and also by putting in place a regulatory and administrative regime, facilitating “a predictable field development process”.


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