News

August 12, 2009

Providence Resources Set To Participate In Dunquin Well As ExxonMobil Confirms Its Commitment To The Atlantic Margin Acreage

Providence Resources

It will come to little surprise to those who attended oilbarrel.com’s last conference in London to hear that operator ExxonMobil plans to drill a well on the frontier Dunquin licence off the west coast of Ireland. Speaking at the July event, Tony O’Reilly, chief executive of Providence Resources, which has a 16 per cent interest in Dunquin, went as far as he could in indicating the possibility of a well, when he took pains to highlight the recent site survey over the licence, a precursor to drilling.

Now ExxonMobil has confirmed it has entered the second phase of the licence, which carries a firm well commitment. This is good news for Providence as it exposes the AIM firm to a possible company-maker of a project, providing the kind of bluesky exploration potential that is the raison d’etre of so many investors in the small cap E&P sector.

It is also a vote of confidence in the prospect-spotting talents of the Providence team. It picked up the rights to Dunquin in...