Providence Resources is set to expand its presence in the Celtic Sea, having been offered a new licensing option just south of its proven Barryroe field.
The Dublin-headquartered explorer announced the new offer, covering the “Silverback” prospect, yesterday. It will hold 100% operator status on the area and will, initially, carry out reprocessing and interpretation work on existing 2D seismic data, as part of a broader assessment of the option’s potential.
Providence will be integrating regional seismic data already available to it, from previous surveys from its nearby assets like Barryroe, Hook Head, Dunmore and Helvick, in this assessment work.
Located in an undrilled area of the South Celtic Sea Basin — about 130km off the coast and 80km south of the Barryroe Oil Field — Silverback offers a new area, within the wider Celtic Sea, for Providence.
The company said it is “particularly exciting” as it shares many structural similarities with the Kinsale Head and Corrib fields; currently Ireland’s two main proven hydrocarbon accumulations.
Commenting on the new prospect, John O’Sullivan — Providence’s technical director — said it represents the continuation of the firm’s strategy of generating and rolling out “new and material high-impact exploration opportunities offshore Ireland”.
He added that the addition to Providence’s portfolio is “a result of our ongoing technical re-evaluation of Ireland’s underexplored offshore basins through the prism of new technology, higher pricing, improved infrastructure, together with a fiscal regime designed to attract an inward flow of foreign direct investment”.
The Silverback licensing area covers nine blocks and approximately 1,530sq km. However, Providence has indicated no resource estimates for the area as yet.
Providence’s share price was down by over 2.5% yesterday, at around €3.
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