Press

Providence Resources Signs Updated Barryroe Farm-Out, Announces Interim Results

Posted by OilVoice Press - OilVoice

20-Sep-2018


Barryroe;

  • The Company today confirms its farm-out with APEC (a Chinese oil consortium) on Standard Exploration Licence 1/11, which includes the Baryroe oil accumulation
  • First announced in March, following governmental consent and amended terms APEC has now been assigned a 50% equity stake in SEL 1/11
  • Significantly enhanced drilling programme agreed, up from 3 vertical wells to 4 vertical wells and a horizontal section
  • Largest drilling programme of its kind since Corrib in the early 2000's
  • Drilling planned in Q2 2019

 

Interim Results;

-       Reduced Operating Loss for the period of €2.210 million versus €3.916 million in H1 2017

-       The Company had no debt at June 30, 2018 (€0 at June 30, 2017)

  • Four farm-out deals completed over last 18 months with partners including Cairn, TOTAL and APEC
  • Updated Barryroe farm-out agreed with cash advances of $19.5m
  • Encouraging exploration prospects ongoing

 

On Barryroe, CEO Tony O'Reilly said;

The finalisation of these binding farm-out terms with APEC is transformational for Providence as it delivers a firm and comprehensive drilling programme comprising of four vertical wells and one horizontal sidetrack, cash advances for certain operational costs of $19.5 million, plus the financing of two further optional wells.  Subject to regulatory consents and appropriate arrangements with contractors, we expect mobilisation to commence in Q2 2019.  In this regard, we are also pleased to confirm that we have contracted Gardline's Ocean Observer vessel to carry out the requisite site surveys during Q4 2018.

This drilling programme is a significant step forward for Barryroe as it is designed to provide modern dynamic data that will assist in the accelerated field development to production.  Importantly, the structure of the farm-out transaction means that Providence has no upfront risk or capital exposure for the drilling programme, whilst also providing a roadmap to take this project, subject to the results of the drilling and subsequent regulatory consents, to project sanction and then on to production.”

 

On the Interim Results, CEO Tony O'Reilly said;

This drilling programme is a significant step forward for Barryroe as it is designed to provide modern dynamic data that will assist in the accelerated field development to production.  Importantly, the structure of the farm-out transaction means that Providence has no upfront risk or capital exposure for the drilling programme, whilst also providing a roadmap to take this project, subject to the results of the drilling & regulatory consents, to project sanction and then on to production. Notably, Barryroe would be Ireland's first commercial oil field development, which in tandem with Corrib, would further facilitate national energy independence at a time of growing geopolitical risk within global energy markets.

Elsewhere in our portfolio, we continued to advance our Atlantic Margin exploration portfolio during the first half.  In addition to TOTAL farming-in to our Diablo licence, TOTAL also became a 50% partner and operator of Avalon, where an application was made to progress the area to a Frontier Exploration Licence.  At Dunquin, the analysis of the recently acquired 3D seismic data has clearly differentiated between the breached Dunquin North structure and the undrilled Dunquin South prospect. Finally, at Newgrange, we successfully carried out an exploration well-site survey this summer with some very encouraging initial results.

With the enhanced multi-well drilling programme at Barryroe, we continue to be by far the most active player offshore Ireland in terms of drilling activity, commercial deals and collaborations with world-class partners.  Looking ahead, we have the portfolio, partners, people and financial resources in place to advance our portfolio through exploration & appraisal drilling for the benefit of all our shareholders.”

Providence ResourcesInterim ResultsResultsEarningsBarryroe FieldFarm-OutexplorationAPEC

More items from oilvoice


Africa E&P Summit

The organisers of the Africa E&P Summit are bringing together Africa's leading exploration companies and governments, just one of the many reasons why you should be attending frontier's event that they are organising and hosting in London at the IET: Savoy Place, 22-23 May. Over 200 key senior exec ...

OilVoice Press - OilVoice


Posted 11 days agoPress > Africasummitoil summit +2

Equinor Deepens in Offshore Wind in Poland

Equinor has exercised an option to acquire a 50 % interest in the offshore wind development project Bałtyk I in Poland from Polenergia. This transaction is a follow-up of the agreement between the two companies which came into force in May 2018 , by which Equinor acquired a 50 % inter ...

OilVoice Press - OilVoice


Posted 4 months agoPress > EquinorEquinor EnergyPoland +2

Nigeria has highest capex on crude and natural gas projects in sub-Saharan Africa Over Next Seven Years, says GlobalData

Nigeria accounts for more than 34% of the proposed capital expenditure (capex) on planned and announced crude and natural gas projects in the sub-Saharan Africa over the period 2018–2025, according to GlobalData , a leading data and analytics company. The company's report: ‘H2 2018 Production ...

OilVoice Press - OilVoice


Posted 4 months agoOpinion > GlobalDataNigeriaCrude +5

CNOOC Signs Strategic Cooperation Agreements with 9 International Oil Companies

HONG KONG, Dec. 18, 2018 /PRNewswire/ -- CNOOC Limited (the "Company", SEHK: 00883, NYSE: CEO, TSX: CNU) announced today that its parent company, China National Offshore Oil Corporation (CNOOC), has signed Strategic Cooperation Agreements with 9 international oil companies including: Chevron, Conoco ...

OilVoice Press - OilVoice


Posted 5 months agoPress > CNOOCChina National Offshore Oil CorporationChevron +11

Total Announces the Distribution of its Second 2018 Interim Dividend

The Board of Directors met on December 12, 2018 and declared  the distribution of a second interim dividend for the 2018 fiscal year of €0.64 per share, in accordance with the Board's decision of July 25, 2018, an amount equal to the first 2018 interim dividend and an increase of 3.2% compared to t ...

OilVoice Press - OilVoice


Posted 5 months agoPress > TotalDividend
All posts from oilvoice