Providence upgrades resource estimate at Barryroe

published 25 July 2012

Oil and gas producer Providence Resources upgraded its oil in place resource estimates at the Barryroe oil field in the North Celtic Sea Basin, offshore Ireland.

The probable resources now total 1,043m barrels of oil and possible resources total 1,612m barrels.

The results follow the drilling and testing of the Barryroe 48/24-10z well in March 2012.

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Tony O'Reilly, Chief Executive of Providence said: "We are delighted to be in a position to provide such a significant increase in the Barryroe oil in place resources. The subsurface mapping and geological modelling results have confirmed that the Barryroe structure covers a very large area, and comprises four distinct hydrocarbon bearing reservoir zones.

"Interestingly, our most recent well was situated around 900 ft down-dip from the structural crest and still encountered oil to the base of the primary Basal Wealden Sand. In fact, the lack of any logged water bearing reservoir intervals in the lower around 1,500 ft of our recent 48/24-10z attests to the resource potential within the Barryroe structure and strongly suggests that there may also be material hydrocarbon potential at deeper reservoir intervals within the structure.

"It is clear from these studies that Barryroe is a substantial oil accumulation across multiple stacked horizons with much running room for further resource growth."

Providence operates Barryroe with an 80% ownership. Lansdowne Oil and Gas owns the remaining 20%.

The share price rose 2.84% to 669p by 14:41.