Oil giant ExxonMobil has said it has no intention of pulling out of Irish waters, despite disappointing early drilling results from the highly-anticipated Dunquin prospect off the Kerry coast — in which it is a senior partner — last month.

The Iseq Index closed yesterday slightly in the red having remained relatively flat throughout the day. The exchange fell 8.56 points to 4,072.38.

The first well to be drilled at the highly anticipated Dunquin oil and gas prospect off the Kerry coast has been abandoned, sending shares in the field’s Irish stakeholder — Providence Resources — plummeting by nearly 10%.

Drilling activity has formally started at the Dunquin exploration prospect off the Kerry coast.

British exploration company Europa Oil & Gas intends to expand its Irish asset portfolio beyond its two existing prospects off the south-west coast, which have a mean total resource potential of around 2bn barrels of oil.

Two companies have identified oil targets off the west coast, with the combined potential to produce nearly two billion barrels of oil.