Providence Resources P.l.c. - Standard Exploration Licence 1/11 - Barryroe, North Celtic Sea Basin

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION STANDARD EXPLORATION LICENCE 1/11BARRYROE, NORTH CELTIC SEA BASINBINDING BARRYROE FARM-OUT AGREEMENT SIGNED   DRILLING PROGRAMME OF 5 FIRM WELLS AND 2 OPTION WELLS SET TO COMMENCE IN 2019  CASH ADVANCE PAYMENTS OF $19.5 MILLION...

London, 20/09/2018 (informazione.news - comunicati stampa - energia)

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION

- Providence Resources P.l.c. (PVR LN, PRP ID), the Irish based Oil & Gas Exploration Company (" " or the " "), today provides a commercial update on Standard Exploration Licence (" ") 1/11 that contains the Barryroe oil accumulation.  SEL 1/11 is operated by EXOLA DAC (" ", 80%), a wholly-owned Providence subsidiary, on behalf of its partner, Lansdowne Celtic Sea Limited (" ", 20%).  The area lies in c. 100 metre water depth in the North Celtic Sea Basin and is located c. 50 km off the south coast of Ireland. 

Further to the RNS announcement of March 28, 2018 regarding the signing of a Farm-Out Agreement (" ") with APEC Energy Enterprises Limited (" "), the Company is pleased to now confirm that, following the completion of all required ancillary documentation and the receipt of both governmental consents, EXOLA, Lansdowne and APEC (collectively referred to as the " ") have signed an amended and restated  Farm-Out Agreement (" ") which assigns 50% equity in SEL 1/11 to APEC.

The Updated FOA provides for  a fully cost-carried firm programme comprising of the drilling and testing of four vertical wells and one horizontal sidetrack (collectively the " "), plus the optional drilling of two additional horizontal wells, together with cash advances to EXOLA for certain agreed project and operational costs such as well site survey acquisition totaling $19.5 million. 

Commenting today, Tony O'Reilly, Chief Executive Officer of Providence Resources said:

As certain operational, financial and commercial terms of the transaction have changed from those previously announced on March 28, 2018, the section below provides the final details of the Updated FOA:

       
Cash Payments

Drilling Programme

Financing

Operations

  

Working Interest

Warrants

This announcement has been reviewed by Dr John O'Sullivan, Technical Director, Providence Resources P.l.c.  John is a geology graduate of University College, Cork and holds a Masters in Applied Geophysics from the National University of Ireland, Galway. He also holds a Masters in Technology Management from the Smurfit Graduate School of Business at University College Dublin and a doctorate in Geology from Trinity College Dublin.  John is a Chartered Geologist and a Fellow of the Geological Society of London.  He is also a member of the Petroleum Exploration Society of Great Britain, the Society of Petroleum Engineers and the Geophysical Association of Ireland. John has more than 25 years of experience in the oil and gas exploration and production industry having previously worked with both Mobil and Marathon Oil.  John is a qualified person as defined in the guidance note for Mining Oil & Gas Companies, March 2006 of the London Stock Exchange. Definitions in this press release are consistent with SPE guidelines. SPE/WPC/AAPG/SPEE Petroleum Resource Management System 2007 has been used in preparing this announcement. 

Providence Resources is an Irish based Oil & Gas Exploration Company with a portfolio of appraisal and exploration assets located offshore Ireland.  Providence's shares are quoted on the AIM in London and the ESM in Dublin. Further information on Providence can be found on www.providenceresources.com

APEC Energy Enterprise Ltd. was established in 2014 as a Hong Kong registered company with headquarters in Beijing. In addition to its original focus on offshore oil & gas services, APEC provides upstream energy acquisition advice and management services in partnership with Chinese Oil Companies, offshore and onshore service providers, and SOE investment groups. www.apecenergy.com.  In 2017, APEC established a strategic partnership with COSL and JIC for the investment and development of offshore oil and gas opportunities worldwide, utilising Chinese infrastructure and equipment (most notably Chinese offshore drilling units/vessels) to earn equity positions in projects.  

Lansdowne Oil & Gas (LOGP.LN) is a North Celtic Sea focussed oil and gas exploration company quoted on the AIM market and headquartered in Dublin. Lansdowne holds acreage in the north Celtic Sea Basin, Ireland.  For more information on Lansdowne, please refer to www.lansdowneoilandgas.com