Providence Resources notes the operational update provided by Cairn Energy this morning on activities in Frontier Exploration Licence 2/04, which is located c. 175 km off the west coast of Ireland in the northern Porcupine Basin.
Capricorn Ireland Limited (38%, Operator (wholly owned subsidiary of Cairn Energy PLC)) operates the licence on behalf of its partners, Providence Resources (58%), and Sosina Exploration (4%). In this morning's announcement, the Operator has advised that an appraisal/exploration well on FEL 2/04, originally planned for 2015, has been deferred, pending discussions with partners and the Government of the Republic of Ireland.
Commenting on today's announcement, Tony O'Reilly, Chief Executive of Providence said,'This delay to drilling follows recent unforeseen changes to the make-up of the joint venture and the consequent delay to the securing of equipment and other necessary requirements. As stated previously, Providence's involvement in the well was subject not only to equipment availability, but also to either further financing or concluding a farm out with a third party company. Discussions with interested third parties in relation to Spanish Point continue and further announcements will be issued, as appropriate.'