Preliminary Results for the Year Ended 31 Decem...

PROVIDENCE RESOURCES P.l.c.

                   ("Providence" or the "Company")

                     PRELIMINARY RESULTS FOR THE
                     YEAR ENDED 31 DECEMBER 2008

Financial

  * Revenue up 473% to ¤24.81 million
  * EBITDA up 20 fold to ¤14.93 million
  * Net cash inflow from operations up 44% to ¤12.24 million
  * Attractive oil and gas price hedges put in place
  * Impairment of assets charge of ¤49.74 million
  * Raised ¤42 million Convertible Bond


Operational

  * Target of 2,000 BOEPD achieved by July 2008, ahead of schedule
  * Diverse portfolio of oil and gas assets across UK, Ireland, US
    and Nigeria
  * Gulf of Mexico: Galveston A-155 gas discovery
  * Gulf of Mexico: Acquisition of Triangle's oil and gas assets
    ("Triangle")
  * OML 113, Offshore Nigeria: Successful AJE-4 appraisal well
  * Dunquin, Porcupine Basin: ExxonMobil becomes Operator
  * Drombeg, Porcupine Basin: 13 Block licence awarded
  * Spanish Point, Porcupine Basin: Chrysaor farm-in completed
  * Kish Bank Basin: Awarded new Licensing Option with Star/PETRONAS
  * Kish Bank Basin; Commenced ULYSSES Project


Momentum 2009

  * On target for 3,000 BOEPD before end 2009
  * Spanish Point, Porcupine Basin: Contract awarded for 2009 3D
    acquisition
  * Singleton, Onshore UK: Successful production at new well, plus
    increased oil production resulting in overall daily oil
    production increase of  50%
  * OML 113, Offshore Nigeria: Commerciality of AJE Field declared
  * Dragon Field area, St George's Channel Basin: Additional acreage
    awarded
  * Gulf of Mexico: Major programme to increase production levels in
    Q3 2009
  * Gas storage and carbon sequestration, offshore Ireland:
    Evaluation underway
  * Rockall Licensing Round:  Applied for Frontier Exploration
    Licence

Commenting on today's results, Tony O'Reilly, Chief Executive of
Providence
Resources P.l.c. said:

"I am pleased to report that the Company has delivered a strong
financial performance in what has been an extremely challenging
period for the global economy, and in the oil and gas industry in
particular. Specifically, your Company reported revenue for the
period up over 400%, with earnings before interest tax, depreciation
and amortisation ("EBITDA") up over 20 times to ¤14.93 million versus
¤0.72 million in 2007. Net cash inflow from operations was up 44% to
¤12.24 million. We achieved our stated production target with
production levels rising four-fold to over 2,000 BOEPD immediately
following the acquisition of Triangle. This acquisition permitted us
to enter into very attractive oil and gas hedges, which helped to
insulate us from the sharp drop in oil and gas prices in the last
four months of 2008. The Company also successfully raised ¤42 million
through a convertible bond.

"During the period under review, the Company drilled a number of
successful development wells (at AJE in Nigeria and at Galveston
A-155 in the Gulf of Mexico), whilst ExxonMobil, the world's largest
non-government oil and gas company, became Operator of the Dunquin
licence area and a new licence was awarded in respect of the Drombeg
Prospect in the South Porcupine Basin. The Company was also able to
secure the development focused company, Chrysaor, as a new partner in
the Spanish Point Project. We were very pleased to welcome Star
Energy and its parent company, PETRONAS, the $66 billion a year
Malaysian oil giant, to Ireland and together, we obtained a Licensing
Option in the Kish Bank Basin (offshore Dublin). In the U.K., in
conjunction with Northern Petroleum, we were awarded licence acreage
adjacent to Singleton, containing the Baxter's Copse oil discovery
and Burton Down exploration prospect.

"As a result of the unprecedented collapse in oil and gas prices in
the last four months of 2008, the sub economic results from the
Celtic Sea drilling programme, lost production caused by hurricanes
Gustav and Ike, and an overall general tightening of the credit
market, your Company immediately moved to ensure that its cost base
was appropriate for these challenging times. Accordingly, at year
end, the Company took a decision to revalue certain assets downwards
by way of a once off impairment charge. This non-cash charge of
¤49.743 million resulted in an exceptional loss of ¤51.193 million.
 Stripping out the impairment charge (which is non-cash), the Company
would have delivered an operating profit of ¤7.532 million.

"Entering 2009 with a very much lower cost base, the Company focused
on optimising production with the drilling of the Singleton SNX-10
well and the re-instatement  of production in the Gulf of Mexico, as
well as advancing development assets (such as AJE) whilst priming
other assets for future drilling. The current and planned production
increases (approximating an aggregate 1,000 BOEPD + from both
Singleton and assets in the Gulf of Mexico) should serve us very well
for the balance of the year as we advance towards 3,000 BOEPD.

"Your Company has a very clear strategy which it has been following
consistently for the past four years. With our extensive portfolio of
assets, together with our focus on costs and with the exciting future
opportunities before us, we view the future with great optimism and
confidence."

Tony O'Reilly
Chief Executive
                                                May 21, 2009

Contacts:

Providence                                                  Resources
Plc                                                    Tel:  +353   1
2194074
Tony O'Reilly, Chief Executive

Powerscourt
Tel: [phone]
Rory Godson/Elizabeth Rous

Murray      Consultants
             Tel: [phone]
Pauline McAlester

Cenkos Securities Plc
                                                         Tel: +44 207
387 8900
Joe Nally/Nick Wells

Davy

Tel: + 353 1 679 6363
Eugenee Mulherne/ Stephen Barry


About Providence

Providence Resources Plc  is an independent  oil and gas  exploration
and production company  listed on  the AIM  market in  London and  on
Dublin's IEX market. The Company was founded in 1997, but with  roots
going back to  1981 when it  predecessor company, Atlantic  Resources
Plc was formed by a group of investors led by Sir Anthony O'Reilly.
Providence's active  oil  and  gas portfolio  includes  interests  in
Ireland, the United Kingdom, the  United States (Gulf of Mexico)  and
West Africa  (Nigeria). Providence's  portfolio is  balanced  between
production, appraisal  and  exploration  assets,  as  well  as  being
diversified geographically.
Further information on Providence and its oil and gas portfolio,
including Annual Reports are available from Providence's website at
www.providenceresources.com

Announcement

In accordance with the AIM Rules - Guidance for Mining and Oil & Gas
Companies, the information contained in this announcement has been
reviewed and approved by John O'Sullivan, Exploration Manager of
Providence Resources P.l.c. John O'Sullivan is a Geology graduate of
University College Cork and holds a Masters in Geophysics from The
National University of Ireland, Galway. John also holds a Masters in
Technology Management from the Smurfit Graduate School of Business at
University College Dublin and is presently completing a dissertation
leading to a PhD in Geology at Trinity College, Dublin. John is a
Fellow of the Geological Society and a member of the Petroleum
Exploration Society of Great Britain. He has 19 years experience in
the oil and gas exploration and production industry and is a
qualified person as defined in the guidance note for Mining Oil & Gas
Companies, March 2006 of the London Stock Exchange.

Glossary of terms used

ALL FIGURES QUOTED ARE GROSS FIGURES, UNLESS OTHERWISE STATED
BOPD                                                    Barrels of
Oil per Day
MMSCFGD                                           Million Standard
Cubic Feet of Gas per Day
MMBO                                                  Millions of
Barrels of Oil
BOEPD                                                  Barrels of Oil
Equivalent per Day
BOE                                                       Barrels of
Oil Equivalent (1 BOE = 6,000 SCFG)
BSCF                                                     Billion
Standard Cubic Feet of Gas

SPE/WPC/AAPG/SPEE Petroleum Resource Management System 2007 has  been
used in preparing this announcement



FINANCIAL HIGHLIGHTS

*          Financial Results Year End 2008
*          Convertible Bond
*          Macquarie Warrants

Financial Results Year End 2008
Revenues for the 12 months were ¤24.814 million compared to ¤4.333
million in 2007 reflecting the full year contribution from Singleton,
9 months contribution from Triangle and realised average oil and gas
prices of $111.07 and $10.13 respectively compared to $80.57 and
$6.87 in 2007. The oil and gas prices used include the benefit of the
hedges put in place, as the average oil (basis Brent) and gas price
(basis Henry Hub) for 2008 was $98.52 and $8.899, respectively.
EBITDA was ¤14.930 million compared to ¤0.716 million in 2007.

This year's results include an exceptional (non cash) write-off of
¤49.743 million for the Impairment of Assets. The largest component
of this was the impairment of the Celtic Sea assets, arising from the
results of the summer drilling programme. Whilst these assets do have
potential, with the pricing environment at year end, it was
considered prudent to take this impairment charge. The result of this
impairment charge was an operating loss of ¤42.211 million, compared
to an operating profit of ¤5.185 million in 2007. Stripping out the
impairment charge (which is non-cash), the Company would have
delivered an operating profit of ¤7.532 million.

Net financial expense was ¤7.807 million compared to ¤3.696 million
in 2007 as a result of the ¤42 million convertible loan facility and
$67.5 million (drawn from Macquarie) used to acquire Triangle.
Netting off the finance expense results in a loss before tax of
¤50.018 million compared to a profit before tax of ¤1.489 million in
2007 with fully diluted after tax EPS of a loss of 2.06 cents
compared to a profit of 0.02 cents in 2007.

The Balance Sheet reflects the significant impairment charge with
Total Assets of ¤139.712 million (¤80.435 million in 2007) after
being adjusted downwards by ¤49.743 million. Cash at bank was ¤9.664
million, reflecting the residual cash at year end. Provisions for
abandonment increased from ¤1.113 million to ¤4.762 million
reflecting additional acreage acquired through the Triangle
acquisition. Importantly, at a time when cash management is our key
focus, net cash inflow from Operations of ¤12.242 million showed a
substantial increase over the ¤8.485 million generated in 2007,
largely as a result of the production income from Singleton and
Triangle, thereby confirming the cash generating capacity of the
Company.

Convertible Bond
In July 2008, the Company announced the placing of convertible bonds
(the "Bonds") with institutional investors to raise ¤42 million
before expenses. The funds raised from the Bonds issue were used
primarily to fund the drilling of Hook Head and Dunmore. The Bonds,
denominated in units of ¤100,000 each, carry interest of 12% per
annum, payable semi-annually in arrears, and mature on 29 July 2012,
at which time all outstanding Bonds will be redeemed, on the basis of
repayment of the principal value of the Bonds, plus all accrued and
unpaid interest. At the election of the holder of a Bond, the Bonds
are convertible into ordinary shares of nominal value ¤0.001 each in
the Company at a conversion price of ¤0.10 per Ordinary Share at any
time on or after 29 September 2008.

Macquarie Warrants
As part of the financing for Triangle, Providence agreed to issue 10
million ordinary shares to Macquarie Bank Limited ("Macquarie") and
to grant Macquarie warrants to purchase an additional 40 million new
ordinary shares in the Company at a subscription price of 12 cents
per share (the "Macquarie Warrants"). In the context of ongoing
provision by Macquarie of significant financial backing to Providence
through the $250 million Revolving Credit Facility, certain
amendments were made to the warrants with the Company adjusting the
subscription price of the Macquarie Warrants to 6 cents per share,
with effect from today's date. These terms supersede, and are not
additional to, the warrant terms announced last May 2008.


OPERATIONAL HIGHLIGHTS - PRODUCTION

Onshore UK

  * Singleton - In-place resources increase by 50% to 107 MMBO
  * Singleton - Successful Drilling of SNX 10
  * New Licence Award - PEDL233


Singleton - In-place resources increase by 50% (99.125% Interest)
During 2008, the Company commissioned a number of studies as part of
the planned redevelopment for enhanced production of the Singleton
Field which included static deterministic resource modeling carried
out by RPS Energy. The main aim of this modeling was to understand
the detailed distribution of oil within the field and to highlight
any areas which may be currently bypassed by the existing wells. The
results of the study suggested a revised oil in-place resource of up
to c. 107 MMBO, a 50% increase over previous estimates.

Since production commenced in 1986, the field has produced c. 3.7
MMBO, which represents a recovery factor to date of c. 3.5%.
Published data from similar fields in the area suggest an ultimate
recovery factor of up to c. 10% should be achievable which means
there is up to c. 7 MMBO of potential remaining reserves.
 Accordingly, the Company finalised a re-development plan at the
Singleton Field to increase production by way of drilling of new
wells and the optimization of existing wells. The short term
objective is to double oil production to 1,000 BOPD.

The first stage of the redevelopment of the Singleton Field in 2009
was the drilling of the SNX10 development well, which targeted a
number of areas highlighted in the pre-drill modeling. During 2009,
several well stimulation programmes are planned for the existing
wells together with facilities upgrades and the implementation of the
CNG (Compressed Natural Gas) Programme to capture and monetise the
equivalent of up to 200 BOEPD of gas that is currently being flared.


Singleton - Successful Drilling of SNX 10 (99.125% Interest)
Having successfully drilled the SNX10 development well to a total
measured depth of 13,001 ft in March 2009, the well was  brought on
to production in May 2009 at rates of 250 BOPD, considerably ahead of
 the pre-drill estimate of 150 BOPD. Total Singleton field production
is now c. 750 BOPD, or c. 950 BOEPD when the associated gas
production is included. A review of the data supports the revised
Singleton reservoir model which was used to locate the SNX10 well and
is included in the Singleton Field redevelopment programme. This
model has also revealed a significant number of other projects that
could further enhance both the production rates and ultimate reserve
potential of the Singleton Field. Providence has already high-graded
a number of these projects with a view to execution later in 2009. In
addition, drilling and completion technologies such as geo-steering,
bespoke concentric jet pump completion design and acid stimulation
were instrumental in the SNX10 success and will now become integral
tools in the next steps in the re-development of the Singleton Field.

New Licence Award - PEDL233 (50% Interest)
In May 2008, the Company and Northern Petroleum Plc were awarded
PEDL233 under the UK 's 13th Landward Licensing Round. Providence and
Northern, who are 50/50 partners, have identified a number of
exploration and development opportunities within the block,
principally the Baxter's Copse oil discovery and the Burton Down
exploration prospect. Providence acts as the Operator for the group.


Gulf of Mexico


*      Acquisition of Triangle Oil and Gas Portfolio
*      Gas Discovery at Galveston A 155
*      2009 2nd Half Outline Plans
       o   Enhancing Production Rates & Evaluating Drilling
       Opportunities
       o   Re-instating Production Impacted by Hurricanes



Acquisition of Triangle Oil and Gas Portfolio (100% Interest)
The Company acquired a portfolio of producing and development assets
in the US Gulf of Mexico from Triangle Oil and Gas Inc., a private
company based in Lafayette, Louisiana, for a total consideration of
US$67.5 million. The portfolio of assets acquired represented all of
Triangle's material hydrocarbon assets and the portfolio in the Gulf
of Mexico now comprises interests in 9 producing oil and gas fields,
2 development assets and extensive exploration opportunities. At
acquisition, net production stood at circa 6 MMSCFGD and 300 BOPD
(~1,300 BOEPD) net to Providence. A key driver for the Triangle
acquisition was the number of undeveloped discoveries as well as
exploration opportunities within the portfolio.

Galveston A 155 (10.8% Interest)
During 2008, Providence and its partners made a gas discovery on
Galveston Island A-155. This discovery, which has an estimated
associated reserve potential of c. 20 BSCF, is located c. 100
kilometers off the US coast. The field was to have undergone a
fast-track development via nearby existing infrastructure; however,
last years' hurricanes delayed production start up by several months
with first gas now expected during June 2009  at initial rates of up
to c. 200 BOEPD net to Providence. Installation of the production
platform was performed in January 2009 and the wellbore completion
was carried out during April 2009. A production flow-line is
currently being laid to connect the platform to the nearby gas export
infrastructure to facilitate the anticipated June start-up.
2009 2nd Half Outline Plans

Enhancing Production Rates & Evaluating Drilling Opportunities
At Vermillion 60, a significant re-completion program has been agreed
for Q2 to produce from a new zone that should see Providence's net
production increase from 25 BOEPD to some 300 BOEPD. This work is
expected to take place imminently. At Main Pass 19, a work-over was
performed on a well in the field during Q1 to allow the well to
produce at higher oil rates. The result was that gross oil production
from this well increased from a production rate of c. 5 BOPD to an
initial stabilised rate of c. 140 BOPD. In addition to work
programmes at its existing producing assets, the Company has a number
of drilling opportunities which are currently being examined for
potential activity later this year depending on partner agreement and
rig availability/rates.

Re-instating Production Impacted by Hurricanes
The Company has a targeted programme to increase production rates
from its portfolio in the Gulf of Mexico. These developments will not
only reinstate lost production, but will also lead to a meaningful
increase in daily production rates, with production rising by an
estimated 900 BOEPD net to Providence by mid Q3, 2009. The Company is
also reviewing a number of new drilling opportunities in the region,
which could see the Company taking advantage of the recent reduction
in offshore rig rates.

Hurricanes Gustav and Ike seriously impacted production in the area,
including Providence's production from its Ship Shoal 253 and High
Island A-268 fields in addition to delaying the start-up of the new
Galveston A-155 gas field by around six months. The cumulative impact
from this lost/deferred production is estimated at approximately 500
BOEPD net to Providence.

At Ship Shoal 253, repairs to third party export pipelines have taken
longer than planned and it is expected that production will now
re-commence in mid Q3 at a rate of 250 BOEPD net to Providence. At
High Island A-268, production re-commenced in Q1 following the
re-instatement of the main third party gas export line that was
damaged.


OPERATIONAL HIGHLIGHTS - DEVELOPMENT/APPRAISAL

  * Spanish Point, Porcupine Basin
  * AJE Field, Offshore Nigeria
  * North Celtic Sea Basin
  * St George's Channel Basin


Spanish Point- Porcupine Basin, Ireland (56% Interest)

  * Additional Acreage awarded under Porcupine Licensing Round
  * Farm out to Chrysaor
  * 3-D Seismic programme awarded to Bergon Oil Field Services


In March 2008, Providence was awarded a new licence area over four
blocks adjacent to its Spanish Point acreage under the 2007 Irish
Frontier Licensing Round.

In August, Providence and its partner, Sosina Exploration Ltd,
announced that they had signed a staged farm-out agreement with
Chrysaor Holdings Limited, a privately owned development led company,
on its Spanish Point discovery, in the Porcupine Basin, off the west
coast of Ireland.

The terms of the farm-out agreement provide for Chrysaor to conduct a
significant appraisal work programme on the Spanish Point discovery
in return for a minimum 30% interest in Spanish Point. Chrysaor then
has the option to earn up to a maximum 70% interest in the event that
two wells are subsequently drilled on Spanish Point. The agreement is
subject to certain milestones being achieved with an initial
commitment by Chrysaor to fund the budgeted cost of a 3-D seismic
programme on Spanish Point as consideration for the initial 30%
interest. Providence will act as Operator for the upcoming 3-D
seismic survey which has been awarded to Bergen Oil Services and is
planned to take place in June.

Dependent on the results of the 3-D seismic programme, Chrysaor may
then undertake to finance the drilling of up to two appraisal wells
where it will commit not less than 60% cost share, whilst also
capping the other partners' cost share, to earn an additional
interest of up to 40%, thereby reducing the other partners' stakes
pro rata. The acquisition of a 3-D seismic survey over Spanish Point
is vital in order to further enhance the detailed understanding of
the reservoir, as well as to optimise potential future well
placement. The survey has also been designed to accommodate future
time lapse 4-D seismic reservoir monitoring, which has been
demonstrated to be particularly effective in monitoring fluid
movement during field production.

 AJE Field, Offshore Nigeria (5.0% Interest)

  * AJE-4 well successfully appraises NE Sector of Field
  * Five hydrocarbon bearing intervals confirmed
  * AJE development deemed to be commercially viable


In April 2008, the Company announced that the AJE-4 well had
encountered Cretaceous aged hydrocarbon bearing section, specifically
a gas condensate and oil bearing Turonian reservoir with oil bearing
Cenomanian intervals. Five hydrocarbon bearing zones were logged with
gross pay of c. 690 feet.

The AJE-4 well was designed to evaluate two objectives. The first was
to test the lateral extent of the Upper Cretaceous oil and gas
bearing reservoirs, which had been successfully tested in AJE 1 & 2
wells, thereby allowing the partners to assess the full extent of the
AJE field. The second objective of the AJE-4 well was to evaluate
additional deeper exploration targets, particularly the Albian, which
lies beneath the AJE field. The AJE-4 well successfully encountered
hydrocarbon bearing sections in both primary and secondary objectives
and was suspended for possible re-use in the future development of
the field.

Following further post well analysis, in February 2009, Providence
confirmed that the AJE Field has been deemed a commercial discovery
by the partners Operating Committee. Accordingly, the partners in the
AJE Field authorised Chevron, as Technical Advisor to the Operator,
to prepare a Development Plan for the AJE Field. This is presently
ongoing. In addition, the partners continue to evaluate a number of
exploration targets contained within OML 113.

North Celtic Sea Basin (53.2% Interest)

  * Hook Head
  * Dunmore


Hook Head
In August, Providence and its partners commenced a multi-well
drilling programme in the Celtic Sea. The Hook Head appraisal well
(50/11-4) was drilled on the north-west flank of the Hook Head
structure using the Transocean semi-submersible GSF Arctic II rig and
was spudded on August 5th, 2008. The well was successfully drilled to
a total depth of 4,875 feet true vertical depth subsea. All
geological horizons in the target Wealden were within the pre-drill
depth prognosis and oil and gas shows were encountered whilst
drilling. Whilst the primary objective was not hydrocarbon bearing,
the well did encounter a gross 200' foot gas column in an overlying
section. Reservoir quality was excellent with average porosities of
c. 27%. This well constitutes the fourth well to be drilled on the
Hook Head structure, all of which have logged hydrocarbons.

However, given that the hydrocarbon bearing intervals in the 50/11-4
well appeared to be primarily gas bearing and below that which was
expected in the pre-drill estimates, the Company and its partners
took the decision to plug and abandon the well. The well results
suggest that the majority of the Hook Head oil resource lies in the
central part of the structure already demonstrated by the 50/11-1 and
50/11-3 wells, however, the north-west flank could potentially
provide additional incremental gas resources for any future
development in the area. The 50/11-4 well results are currently being
integrated into the Hook Head full field model and this will help to
define the forward plans for the accumulation.

Dunmore
In September, the Company and partners drilled the 50/6-4 Dunmore
appraisal well, located some 40 kilometers off the south coast of
Ireland. The well was designed to appraise Jurassic aged sandstone
reservoir intervals which were tested as oil bearing in the 50/6-1
discovery well. The 50/6-4 well was drilled using the Transocean GSF
Arctic II semi submersible drilling rig and reached a total depth of
5,214 ft measured depth below rotary table. The primary Jurassic
sandstone reservoir interval was encountered within the pre-drill
depth prognosis, but the gross reservoir interval was thinner than
had been expected and sandstones present were determined to be water
bearing based on well log data.

A new hydrocarbon bearing Jurassic carbonate reservoir zone was
encountered, which had not been anticipated prior to drilling. This
reservoir has a c. 20 ft gross thickness and porosities of up to 23%.
The reservoir zone exhibited good oil and gas shows whilst drilling,
with a hydrocarbon down to the base and is located within a c. 400 ft
thick interval of gas bearing shales. Given that this new play type
may have future potential, the partners elected to suspend the well
and demobilise the rig since operational timing, equipment
availability, and cost constraints precluded the deployment of the
required specialist testing equipment.

The partnership is now focusing on integrating the results of the
Dunmore well, in particular on the new Jurassic carbonate play
potential. Forward programmes could include the deployment of
specialist testing equipment to obtain hydrocarbon samples and to
evaluate the productive potential of this interval.


St George's Channel Basin (100% Interest)

  * SEL 1/07 Licence area expanded
  * Revised licence extent also includes mapped extension of Dragon
    Gas field


In March 2009, the Company announced that it had been granted an
increase in the area extent of its 100% operated Standard Exploration
Licence (SEL) 1/07 in the St George's Channel Basin, offshore
south-east Ireland by the Department of Communications, Energy and
Natural Resources. This revised licence authorisation contains the
mapped extension into Irish waters of Marathon's proven UK Dragon gas
field, which was discovered in 1994. Published public data on this
field confirms a resource base of c. 80 BSCF within the existing
tested reservoir zones. Providence's mapping of the Dragon Field
indicates that c. 25% of the field extends into SEL 1/07 and that
there is potential for deeper hydrocarbon bearing intervals beneath
the field, which were not drilled with the original discovery well.
The expansion of the licence area has been designed to capture this
additional "Orpheus" exploration prospect, which may be targeted as
part of any future appraisal/development well programme on the
overlying Dragon Field. The Dragon Field lies approximately 60
kilometers from Milford Haven in South Wales where two new LNG
facilities have recently been commissioned.


OPERATIONAL HIGHLIGHTS - EXPLORATION

  * Dunquin, Porcupine Basin
  * Newgrange, Goban Spur Basin
  * Drombeg, Porcupine Basin
  * Rockall Licensing Round


Dunquin, Porcupine Basin (16% Interest)

  * ExxonMobil takes over Operatorship


In March 2008, the Company announced that ExxonMobil, would assume
Operatorship from Providence of the Dunquin Prospect in the Porcupine
Basin, off the west coast of Ireland as of 31 March 2008. Providence
had been Operator of this licence area since it was awarded in
November 2004. Additionally, ExxonMobil advised of their intention to
farm out a portion of their equity of Dunquin. This process is
ongoing.

Newgrange, Goban Spur Basin (16% Interest)

  * Farm out campaign launched


The Newgrange Licence Option is 150 km south of the Dunquin Prospect,
covering an area in excess of 4,000 sq. km. This Licensing Option is
operated by Providence. Seismic interpretation was carried out by the
partnership following the licensing of 500 km of long offset 2-D
seismic data that was carried out over this 15 block area during the
summer of 2006. An existing database of c. 5,500 line kilometres of
vintage 2-D seismic data, together with potential field data, have
been integrated with the new data to provide an overall assessment of
the prospectivity of the area.

The Company, together with its partners ExxonMobil and Sosina,
recently agreed to relinquish six blocks on the south side of the
option area in order to focus on the Newgrange Prospect, which is a
large four way dip closed prospect extending over a c. 1,000 sq km
area. Mean recoverable prospective resource potential for the
Newgrange Prospect is c. 10 TSCF. A farm out campaign has just
commenced for the Newgrange Prospect.

Drombeg, Porcupine Basin (16% Interest)
In March 2008, the Company announced that it has been awarded 13 new
blocks with its
Dunquin Prospect partners, ExxonMobil (80%) and Sosina (4%), under
the 2007 Irish Porcupine bidding Round. These blocks lie close to and
southwest of the Dunquin licence in water depths of c. 2,000-3,000
meters and contain the Drombeg Prospect. ExxonMobil, as Operator,
carried out a 2-D seismic survey over the acreage in June 2008. These
data should help to better define the prospectivity of the Drombeg
area.

Rockall Licensing Round
In April 2009, the Company confirmed that it had applied for a
Frontier Exploration Licence under the 2009 Rockall Licensing Round
through a consortium comprising Providence, OMV (Exploration) GMBH
and Sosina Exploration Limited. Providence will act as Operator if
awarded acreage under the Round. The acreage on offer under the
Licensing Round is located in the Rockall Basin off the North West
Coast of Ireland and covers an area of approximately 117,200 sq.
kilometers.


PORTFOLIO MANAGEMENT

  * Strategic JV with Star Energy/PETRONAS
  * Kish Bank Basin and ULYSSES project
  * Relinquishment of Fields


Strategic JV with Star Energy/PETRONAS (50% Interest)
In 2007, Providence and Star Energy agreed a strategic joint venture
on future gas storage initiatives offshore Ireland. Providence sees
gas storage as a future strand to its business model. The Irish
Government has stated that increased national gas storage capacity
should be a strategic initiative, given the country's exposure within
the European gas supply network coupled with the high degree of
imported supply. Star Energy, now a wholly owned subsidiary of
PETRONAS, is a leading operator and developer of gas storage systems
both onshore and offshore United Kingdom. In April 2009, PETRONAS
announced that it had acquired 100% of Marathon's gas production,
storage and trading business offshore Cork. Providence, Star/PETRONAS
continue to evaluate various gas storage opportunities offshore
Ireland.

Kish Bank Basin (50% Interest)
In August, as part of their MOU on gas storage, Star/PETRONAS and
Providence were awarded a 3 year Licensing Option over 8 blocks in
the Kish Bank Basin, offshore Dublin and commenced the "ULYSSES
Project", a study to evaluate the carbon sequestration and natural
gas storage potential of the Kish Bank Basin, offshore Ireland. The
study is being carried out on a 50/50 joint venture basis. The agreed
work programme will focus on the oil and gas exploration potential of
the basin while the ULYSSES Project will specifically assess the
potential the gas storage and CO2 sequestration potential of
underground saline reservoirs in the Kish Bank Basin. Separately, the
partners have identified a very large exploration prospect in the
Kish Bank Basin. Called Dalkey Island, the prospect is located 8
kilometres offshore Dublin and is currently being assessed.

Relinquishment of Fields
In May 2009, Providence began scheduled withdrawal procedures on its
MO 861 gas field in the Gulf of Mexico due to reserves having been
depleted as planned. Separately, in the United Kingdom, the Company
took a strategic decision to withdraw from its offshore UK acreage to
allow it to focus on the balance of its portfolio. This decision was
taken to withdraw from Crosby, West Lennox and surrounding acreage
due to the relative immateriality of our interests (relative to other
assets within the portfolio) and the forward investment programme.


ENERGY AND THE ENVIRONMENT
The Company is committed to supplying energy in an environmentally
responsible manner. In addition to its ongoing exploration and
development initiatives, which are carried out in compliance with all
relevant environmental rules and regulations, the Company is also a
contributing participant to the Irish Government sponsored initiative
on new energy sources, including methane gas hydrates.

Providence also has a collaboration agreement with Hydrates Energy
International (HEI)
which is part of the advisory team to the U.S Government in respect
of Hydrates. Providence recently carried out a Methane Hydrate
Assessment Study of the Irish Continental Margin on behalf of the
Irish Petroleum Infrastructure Programme. This programme counts oil
majors such as Shell, ExxonMobil, Chevron, Total and ENI amongst its
members.


OUTLOOK
The Company is expecting a period of high activity in 2009,
consistent with prior years. Importantly, we have not deviated from
our diversified portfolio strategy, and we continue to focus on
increasing production levels.

We are pleased to report that 2009 has started off well for the
Company. With a clear focus on cash generation, the current and
planned production increases, approximating some 1,000 BOEPD (in
aggregate) at both Singleton and in the Gulf of Mexico, will serve us
very well for the balance of the year as we head towards 3,000 BOEPD.
Looking further ahead, we are on track to achieve our new production
target of 5,000 BOEPD in 2011. We also continue to expand and enhance
the balance of our portfolio, with a big focus now being on advancing
a number of our large development and exploration projects off the
west coast of Ireland to the drilling stage as well as increasing our
exposure to gas storage opportunities.

We believe that this tightly managed portfolio of assets strategy
gives Providence shareholders a unique investment platform. This,
together with our focus on costs, means that Providence shareholders
can look to the future with real optimism.

Tony O'Reilly
Chief Executive

May 21, 2009
PROVIDENCE - ASSETS BY REGION



Asset            Location         Operator    %        Type

IRELAND
Pegasus          NE Celtic Sea    Providence  100.0%   Oil and gas
                                                       exploration
Orpheus          NE Celtic Sea    Providence  100.0%   Oil and gas
                                                       exploration
Dionysus         NE Celtic Sea    Providence  100.0%   Oil and gas
                                                       exploration
Dragon (part)    NE Celtic Sea    Marathon    c. 25.0% Gas
                                                       development
Hook Head        Celtic Sea       Providence  53.2%    Oil &Gas
                                                       discovery
Dunmore          Celtic Sea       Providence  53.2%    Oil discovery
Helvick          Celtic Sea       Providence  53.2%    Oil & Gas
                                                       discovery
Ardmore          Celtic Sea       Providence  53.2%    Gas discovery
Blackrock        Celtic Sea       Providence  53.2%    Oil discovery
LO 1/07          Celtic Sea       Providence  53.2%    Oil and gas
                                                       exploration
Barryroe         Celtic Sea       Lansdowne   30.0%    Oil & Gas
                                                       discovery
Spanish Point    Porcupine Basin  Providence  56.0%    Gas
                                                       development
Burren           Porcupine Basin  Providence  56.0%    Oil discovery
FEL 4/08         Porcupi ne Basin Providence  56.0%    Oil and gas
                                                       exploration
Dunquin          Porcupine Basin  ExxonMobil  16.0%    Oil and gas
                                                       exploration
Drombeg          Porcupine Basin  ExxonMobil  16.0%    Oil and gas
                                                       exploration
Newgrange        Goban Spur Basin Providence  16.0%    Oil and gas
                                                       exploration
Dalkey Island    Kish Bank Basin  Providence  50.0%    Oil and gas
                                                       exploration

UNITED KINGDOM
Singleton        Onshore          Providence  99.1%*   Oil and gas
                                                       production
Baxter's Copse   Onshore          Providence  50.0%    Oil discovery
Burton Downs     Onshore          Providence  50.0%    Oil and gas
                                                       exploration
West Lennox**    East Irish Sea   CMI         10.0%    Oil discovery
                 Basin
Crosby**         East Irish Sea   CMI         10.0%    Oil and gas
                 Basin                                 exploration
110/9b(p)**      East Irish Sea   CMI         25.0%    Oil and gas
                 Basin                                 exploration
110/14b(p)**     East Irish Sea   CMI         25.0%    Oil and gas
                 Basin                                 exploration
* 99.125%
** Documentation pending on withdrawal from
UK Offshore interests.

UNITED STATES
High Island A    Gulf of Mexico   Peregrine   5.0%     Oil and gas
268                                                    production
Galveston A 155  Gulf of Mexico   Peregrine   10.8%    Gas
                                                       development
Ship Shoal 252/253/267*           SPN         50.0%    Oil and gas
Gulf of Mexico                                         production
Main Pass 19     Gulf of Mexico   Petsec      45.0%    Oil and gas
                                                       production
East Cameron 257 Gulf of Mexico   SPN         12.5%    Gas production
West Cameron 333 Gulf of Mexico   Mariner     32.5%    Gas production
Vermillion 60    Gulf of Mexico   SPN         50.0%    Gas production
Ridge            Onshore          Brammer     30.0%    Gas production
                 Louisiana
Main Pass 89**   Gulf of Mexico   Beryl       17.5%    Gas production
* Earned interest through well
bore
** Back-in rights for 25% of 70%
after pay out

NIGERIA
AJE, OML 113     Offshore Nigeria YFP/Chevron 5.0%     Oil and gas
                                                       development



Providence has been very successful in attracting very high profile
partnerships across it operations, including:

-          ExxonMobil - the world's largest publicly traded
international oil and gas company
-          PETRONAS - wholly-owned by the Malaysian Government, is a
fully-integrated oil and gas corporation and  is ranked among FORTUNE
Global 500's largest corporations in the world.
-          CMI/Transocean - the world's largest offshore drilling
contractor,
-          Chevron - one of the world's largest integrated energy
companies
PROVIDENCE RESOURCES P.l.c.
Consolidated income statement
For the year ended 31 December 2008

                                            2007
                                          Before        2007
                                     Exceptional                 2007
                                                 Exceptional
                             2008          items       items    Total
                            ¤'000          ¤'000       ¤'000
                                                                ¤'000
Continuing operations

Revenue                    24,814          4,333           -    4,333
Cost of sales            (13,571)        (1,477)         718    (759)


Gross profit               11,243          2,856         718    3,574

Administration expenses   (2,784)        (2,003)           -  (2,003)
Pre-licence expenditure     (927)          (737)           -    (737)
Negative goodwill on            -              -       4,351    4,351
acquisition of
Singleton
Impairment of            (49,743)              -           -        -
exploration and
evaluation assets

Operating (loss)/profit  (42,211)            116       5,069    5,185

Finance income                487            539           -      539
Finance expenses          (8,294)          (251)     (3,984)  (4,235)


(Loss)/profit before     (50,018)            404       1,085    1,489
income tax
Income tax expense        (1,175)          (920)           -    (920)

(Loss)/profit for the
year from
continuing operations    (51,193)          (516)       1,085      569

(Loss)/earnings per
share (cent)
Basic (loss)/earnings      (2.06)                                0.02
per share
Diluted (loss)/earnings    (2.06)                                0.02
per share

PROVIDENCE RESOURCES P.l.c.
Consolidated balance sheet
At 31 December 2008

                                                   2008          2007
                                                  ¤'000         ¤'000
Assets
Exploration and evaluation assets                 9,505        30,980
Development and production assets                78,172        32,511
Property, plant and equipment                       193           142
Available for sale assets                           219           872
Derivative instruments                            9,604             -

Total non-current assets                         97,693        64,505

Trade and other receivables                       5,412         4,534
Derivative instruments                              463             -
Deferred tax                                      3,962
Cash and cash equivalents                         9,664        11,396
Restricted cash                                  13,027             -

                                                 32,528        15,930
Assets classified as held for sale                9,491             -

Total current assets                             42,019        15,930

Total assets                                    139,712        80,435

Equity
Share capital                                    14,172        14,162
Share premium                                    56,309        55,239
Singleton revaluation reserve                     3,206         3,357
Capital conversion reserve fund                     623           623
Convertible bond - equity portion                 2,944             -
Foreign currency translation reserve            (4,660)         (217)
Share based payment reserve                       1,597           968
Macquarie loan warrant reserve                    5,641         3,666
Cashflow hedge reserve                            7,047             -
Retained earnings                              (84,908)      (33,866)

Total equity attributable to equity holders of    1,971        43,932
the Company

Liabilities
Loans and borrowings                             77,843         9,139
Decommissioning provision                         4,762         1,113
Deferred tax                                     16,001        11,490

Total non-current liabilities                    98,606        21,742

Trade and other payables                         27,638        14,761
Loans and borrowings                             11,497             -

Total current liabilities                        39,135        14,761

Total liabilities                               137,741        36,503

Total equity and liabilities                    139,712        80,435



PROVIDENCE RESOURCES P.l.c.
Consolidated statement of cash flows
For the year ended 31 December 2008

                                                    2008         2007
                                                   ¤'000        ¤'000
Cash flows from operating activities
(Loss)/profit before income tax for the year    (50,018)        1,489
Adjustments for:
Depletion and depreciation                         7,398          633
Change in Helvick decommissioning provision            -        (718)
Impairment of exploration and evaluations         50,670            -
assets
Negative goodwill on Singleton acquisition             -      (4,351)
Finance income                                     (487)        (539)
Finance expense                                    8,294        4,235
Equity-settled share based payment charge            629          610
Change in trade and other receivables              (832)      (2,055)
Change in restricted cash                       (13,073)            -
Change in trade and other payables                12,877        9,493
Foreign exchange adjustments                           -        (312)
Interest paid                                    (3,212)            -
Tax paid                                             (4)            -


Net cash inflow from operating activities         12,242        8,485

Cash flows from investing activities:
Interest received                                    487          539
Acquisition of exploration and evaluation       (35,992)     (17,964)
assets
Acquisition of development and production        (8,906)      (2,619)
assets
Acquisition of property, plant and equipment       (131)         (30)
Acquisition of available for sale assets         (3,250)      (1,252)
Acquisition of subsidiary undertaking           (43,278)      (9,263)


Net cash used in investing activities           (91,070)     (30,589)


Cash flows from financing activities:
Proceeds from issue of share capital               1,080       26,010
Payment of transaction costs                           -      (1,350)
Repayment of loans and borrowings               (12,034)      (4,780)
Proceeds from drawdown of loans and               88,963        9,139
borrowings


Net cash from financing activities                78,009       29,019


Net (decrease)/increase in cash and cash           (819)        6,915
equivalents

Cash and cash equivalents at 1 January            11,396        4,481
Effect of exchange rate fluctuations on cash
and cash equivalents                               (913)            -


Cash and cash equivalents at 31 December           9.664       11,396

---END OF MESSAGE---




This announcement was originally distributed by Hugin. The issuer is 
solely responsible for the content of this announcement.