• Contract signed for the Stena IceMAX drill-ship
• Planned spud date for the 53/6-A exploration well is June 2017

Providence Resources P.l.c. (PVR LN, PRP ID), the Irish based Oil and Gas Exploration Company,  provides an update on the Frontier Exploration Licence (”FEL”) 2/14 drilling project, which lies in c. 2,250 metre water depth in the southern Porcupine Basin and is located c. 220 kilometres off the south west coast of Ireland. The licence is operated by Providence Resources P.l.c. (“Providence”) (80%) on behalf of its partner Sosina Exploration Limited (“Sosina”) (20%), (collectively referred to the “JV Partners”). FEL 2/14 contains the Paleocene “Druid” and the Lower Cretaceous “Drombeg” exploration prospects.

Stena IceMAX Rig Contract

On behalf of the JV Partners, Providence has signed a contract for the provision of a Harsh Environment Deepwater Mobile Drilling Unit (the “Contract”) with Stena Drillmax Ice Limited (“Stena”), a wholly owned subsidiary of Stena International S.A., for the Stena IceMAX drill-ship. The Stena IceMAX is a modern harsh environment dual derrick drill-ship designed to operate in water depths of up to c. 3 km. The Contract provides for one firm well, plus an additional option, which is electable at the discretion of the JV Partners for the drilling of a second follow-on well. The operational rig rate is $185,000 per day.

In addition to the finalisation of the Contract, other key service contracts are now being prepared for the planned drilling operations. Based on the latest project timeline and, subject to standard regulatory approvals and consents, the 53/6-A exploration well is currently planned to spud in June 2017.

Speaking today, Tony O’Reilly, Chief Executive of Providence said:

“We are delighted to have signed this rig contract with Stena. Our previous exploration collaboration project with Schlumberger highlighted the significant hydrocarbon potential of FEL 2/14 which we will now be evaluating using the high specification Stena IceMAX drill-ship. The signing of this rig contract is a major milestone in the project plan to enable the drilling of this high impact exploration well during summer 2017.”