Source: Providence Resources
Providence Resources (LON:PVR) has been offered a petroleum exploration license over Rathlin Island, Northern Ireland. The license has been offered by Northern Ireland's Department of Enterprise, Trade and Investment in response to a recent application made by Providence.
The initial license term is for five years with a decision on a well commitment required within three years. Providence has committed to carry out a number of technical studies of the subsurface geology during the first three years to determine the petroleum potential and inform the decision on the well commitment. Providence will operate the license with a 100% equity interest.
"Providence has a clear corporate focus to evaluate the hydrocarbon potential of the island of Ireland and this new license over Rathlin complements our substantial Atlantic Margin and Irish Sea acreage portfolio,” said chief executive Tony O’Reilly.
"The oil exploration potential of the Rathlin Basin was highlighted by the onshore 2008 Ballinlea-1 well, which encountered hydrocarbon shows and recovered some oil during testing,” John O'Sullivan, Technical Director of Providence, said. “We interpret this well to have been drilled on the margin of the basin which extends and deepens towards Rathlin. The potential under Rathlin Island itself is of interest as this location is interpreted to directly overlie the most mature and potentially most productive part of the basin."