Operational Update - Spanish Point & Burren

Embargo 7:00am
22 February 2011


                               OPERATIONAL UPDATE

                             SPANISH POINT & BURREN

  * Spanish Point partners make well commitment


  * New 200 sq km 3D seismic survey planned for 2011


  * New third party resource audit for Spanish Point and surrounding targets
    complete


Providence Resources P.l.c. ("Providence"), the Irish oil and gas exploration
and production company, whose shares are listed in London (AIM) and Dublin
(ESM), is pleased to provide an operational update on its activities across its
two frontier exploration licences (FEL 2/04 & FEL 4/08) in the Main Porcupine
Basin, c. 200 km off the west coast of Ireland. These licences are operated by
Providence (56%) with partners Chrysaor E&P Ireland (30%) and Sosina Exploration
(14%).

Spanish Point well commitment
Providence, on behalf of its partners, Chrysaor and Sosina has formally notified
the Irish Department of the Communications, Energy and Natural Resources that
they have elected to enter the second phase of FEL 2/04, which contains the
Spanish Point gas condensate and Burren oil discoveries. This second phase
carries a firm well commitment and will form part of Providence's previously
announced multi-year, multi-basin drilling programme offshore Ireland.

New 3D seismic survey to be acquired over FEL 4/08
The subsurface evaluation of FEL 4/08 carried out to date has been based on 2D
seismic data together with the integration of the mapping into the overall
Spanish Point regional model. This work has revealed the presence of a number of
new prospective features. Accordingly, the partners have agreed to acquire a new
c. 200 sq km 3D survey over FEL 4/08 and integrate these data with the recent
2009 Spanish Point 3D survey. It is planned that this survey will be acquired
during the summer 2011.


New independent CPR completed for FEL 2/04 and FEL 4/08
Senergy, a leading Aberdeen-headquartered energy services company, has carried
out a competent persons report (CPR) on the resource potential of FEL 2/04 and
FEL 4/08. This study has independently assessed gross un-risked recoverable
prospective resources of up to c. 750 MMBOE. This resource potential covers a
number of prospects including "Wilde", the newly identified "Cama" prospect as
well as the "Burren" oil discovery (up to c. 66 MMBO REC). The CPR also
evaluated the contingent resource potential at "Spanish Point" and has
attributed gross contingent resources that are in line with the previously
reported volumes of up to c. 200 MMBOE REC.

Commenting, John O'Sullivan, Technical Director of Providence said:

"Following the hugely positive impact that 3D seismic has had on our
understanding of the Spanish Point discovery, the partners have now taken the
decision to move into the second phase of the licence by providing a well
commitment. Our mapping and the associated CPR have highlighted additional
resource potential around Spanish Point, both in known discoveries such as
Burren, as well as in the newly identified exploration targets in FEL 2/04 and
FEL 4/08. We believe that the deployment of 3D seismic technology will again add
similar value to our adjacent FEL 4/08 area and help to advance it to a drill
ready stage."


CONTACTS:

 Providence Resources P.l.c.        Tel: [phone]
 Tony O'Reilly/John O'Sullivan


 Powerscourt                        Tel: [phone]
 Rob Greening/Lisa Kavanagh


 Murray Consultants                 Tel: [phone]
 Pauline McAlester/Pauline Dooley


 Cenkos Securities Plc              Tel: [phone]
 Adrian Hargrave/ Nick Wells


 Davy                               Tel: + 353 (0)1 679 6363
 Stephen Barry




NOTES TO EDITORS:

ABOUT PROVIDENCE
Providence Resources Plc is an independent oil and gas exploration company
listed on the AIM market in London and on Dublin's ESM market. Providence's
active oil and gas portfolio includes interests in Ireland (offshore), the
United Kingdom (onshore and offshore), the United States (offshore) and West
Africa (offshore Nigeria).

On February 16th, 2011, Providence announced the placing of 16.096 million new
ordinary shares to raise $65.7 million in support of its planned multi-year,
multi-well drilling campaign to cover the six basins in which the Company has
licence interests offshore Ireland. As part of this programme, plans are being
advanced for the drilling of an appraisal well at Spanish Point.

Comprehensive information on Providence and its oil and gas portfolio, including
all press releases, annual reports and interim reports are available from
Providence's website at www.providenceresources.com.


ABOUT SPANISH POINT
The Spanish Point gas condensate discovery was made by Philips Petroleum in
1981 with the drilling of the 35/8-2 well. Oil and gas were found in Upper
Jurassic Volgian sands with one zone flowing at c. 5 MMSCFD and c. 1000 BOPD (c.
1800 BOEPD). The discovery was not appraised due to lack of gas infrastructure
and market in Ireland at the time. In 2004, Providence/Sosina licensed the
discovery and following in depth subsurface and pre-development studies,
Chrysaor farmed in during 2008 by agreeing to fund a c. 300 sq km 3D seismic
survey which was acquired in 2009. Evaluation of these data has confirmed a
resource level of up to c. 510 MMBOE with c. 200 MMBOE recoverable. Peak
production rates have been modelled at over 70,000 BOEPD and planning has
commenced for an appraisal drilling programme.


GLOSSARY OF TERMS USED
All figures quoted are gross figures, unless otherwise stated
BOPD Barrels of Oil per Day
BOEPD Barrels of Oil Equivalent per Day
MMBOE Millions of Barrels of Oil
MMSCFD Millions of Cubic Feet of Gas per Day


ANNOUNCEMENT
This announcement has been reviewed by John O'Sullivan, Technical Director,
Providence Resources P.l.c. John holds a B.Sc. in Geology from University
College Cork, Ireland, an M.Sc. in Applied Geophysics from the National
University of Ireland, Galway and a M.Sc.in Technology Management from The
Smurfit School of Business at University College Dublin. John is presently
working part-time on a PhD dissertation at Trinity College, Dublin. John has
worked in the offshore business for 20 years and is a fellow of the Geological
Society of London and the Petroleum Exploration Society of Great Britain.
Definitions in this press release are consistent with SPE guidelines.








This announcement is distributed by Thomson Reuters on behalf of 
Thomson Reuters clients. The owner of this announcement warrants that: 
(i) the releases contained herein are protected by copyright and 
    other applicable laws; and 
(ii) they are solely responsible for the content, accuracy and 
     originality of the information contained therein. 
    
Source: Providence Resources plc via Thomson Reuters ONE

[HUG#1491184]