Providence Resources has completed the first phase of the AMEC conceptual development study for the ULYSSES salt cavern gas storage project in the Kish Bank Basin, offshore eastern Ireland.

The ULYSSES Project, which commenced in 2008, assessed the natural gas storage and carbon sequestration potential of the Kish Bank Basin, offshore Dublin. The initial phase of this new study, carried out by AMEC plc, which included planning, capacity modeling, infrastructural integration and gas sourcing has confirmed that the construction of an offshore natural gas salt cavern storage facility at the ULYSSES location is both economically and technically feasible. A number of scenarios have been developed which have an associated range in capacity, off-take export rates and capital expenditure. Detailed technical data relating to the subsurface geology, which will be acquired through the drilling of the Dalkey Island exploration prospect, will also assist with the advancement of this project.

John O'Sullivan, Technical Director of Providence, said,'The initial results from the AMEC ULYSSES study are very encouraging as they provide a range of potential project sizes and development concepts which could be built to meet market requirements. In outline, if developed, ULYSSES could deliver c. 50% of Ireland's storage capacity as set out in EU directives through one dedicated offshore facility whilst also providing security of supply through the cold winter months. Having now established both the technical and economic potential of ULYSSES, we will now move to refine the future development plans, including the all important sub-surface technical parameters, and we will continue to advance discussions with potential users and partners.'

Tags: Providence Resources Plc