LONDON (Alliance News) - Providence Resources PLC on Monday said it has agreed a deal to acquire a further stake in the Frontier Exploration Licence 3/04 in the south Porcupine Basin off the south west coast of Ireland.
Providence said it has acquired a further 4% stake in the licence from Atlantic Petroleum for an undisclosed amount. The deal increases its interest in the licence to 20%.
The current principal prospect within FEL 3/04 is the interpreted Lower Cretaceous Dunquin South carbonate prospect.
"The 44/23-1 well results have de-risked many of the elements of the petroleum system and were therefore believe that, on a risked basis, Dunquin South is an attractive exploration prospect. Increasing our equity in [the licence] also reflects our continued corporate commitment and strategic exploration focus on the vast and under-explored deep-water southern Porcupine Basin, which we believe contains all of the elements required to host giant hydrocarbon accumulations," said Providence Chief Executive Tony O'Reilly.
Shares in Providence were down 2.2% to 22.00 pence on Monday morning.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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