PROVIDENCE ANNOUNCES MAJOR US ASSET ACQUISITION

Embargo 7:00am May 7, 2008     PROVIDENCE ANNOUNCES MAJOR US ASSET ACQUISITION * Acquires Oil & Gas portfolio in US Gulf of Mexico for $67.5 million (~ ¤43.5 million) * Portfolio currently generates c.1,300 BOEPD (net to Providence) * Asset acquisition to treble Providence production Providence Resources P.l.c., the AIM and IEX listed exploration and development company, announces that it has agreed to acquire a portfolio of producing and development assets in the US Gulf of Mexico from Triangle Oil and Gas Inc., ("Triangle") a private company based in Lafayette, Louisiana. The transaction is subject to regulatory approvals.   The portfolio of assets to be acquired represents all of Triangle's material hydrocarbon assets and comprises interests in 8 producing fields and 2 development assets. Within the portfolio, there are also a substantial number of exploration opportunities. With cumulative net current production of circa 6 MMSCFGD and 300 BOPD (~1,300 BOEPD), this transaction, in line with Providence's stated strategy, trebles the Company's current daily production up to 2,000 BOEPD.   Under the terms of the transaction, Providence will acquire the portfolio for a total consideration of US$67.5 million (approx. ¤ 43.5 million), payable on completion. The transaction is being fully financed through Macquarie Bank Limited, with whom Providence has a US$ 250 million revolving credit facility. Additionally, Providence has agreed to issue Macquarie Bank Limited with 10 million ordinary shares and has granted Macquarie warrants to purchase 30 million new ordinary shares in the Company at a subscription price of 12 cents per share.   Commenting on the announcement: Mr. Tony O'Reilly Jnr., Chief Executive, said:   "This acquisition is great news for Providence and its shareholders, allowing it to substantially increase its daily production rates up to 2,000 BOEPD, whilst also delivering on one of our stated corporate objectives. Not only does this deal allow Providence to generate significant cash flow from the existing production, but importantly, there are substantial additional proven resources to be developed within the portfolio. These operations will also build on and complement our existing production from High Island A-268 and future production from Galveston Island A-155. We look forward to growing our presence in the US Gulf of Mexico and see this acquisition as a springboard for future opportunities."   Contacts:   Providence Resources P.l.c.     Tel: +353 1 219 4074  Tony O'Reilly Jnr., Chief Executive     Powerscourt         Tel: +44 (0) 207 250 1446 Rory Godson/Elizabeth Rous   Murray Consultants         Tel: +353 1 498 0300 Pauline McAlester       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 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 (offshore), the United Kingdom (onshore and offshore), the United States (offshore) and West Africa (offshore Nigeria). Providence's portfolio is balanced between production, appraisal and exploration assets, as well as being diversified geographically.   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.   In addition to the producing and development assets being acquired, Providence has existing interests in 2 other operations in the Gulf of Mexico, namely a 5% interest in High Island A268 - (in production), a 10.8% interest in Galveston A-155 - (in appraisal/development) and it continues to seek out other opportunities in the Gulf of Mexico.   DEFINITIONS   BOPD - Barrels of Oil per Day   MMSCFGD = Million Standard Feet of Gas per Day   BOEPD = Barrels of Oil Equivalent Per Day   This announcement has been reviewed by John O'Sullivan, Exploration Manager, 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 18 years and is a fellow of the Geological Society of London and member of the Energy Institute. Definitions in this press release are consistent with SPE guidelines.   ABOUT TRIANGLE   Triangle Oil and Gas Inc. was founded in Louisiana in 1998. It is a privately owned independent oil and gas company focused on operations in the shallow waters (0 - 300 feet) of the central Gulf of Mexico. Triangle is centrally located in the gulf coast region with its head office in Lafayette, Louisiana. The Company is a qualified operator with the US federal government's regulatory agency, the MMS.   Triangle has primarily generated its projects in house with its own geological and geophysical prospecting operation. It has a team of very experienced Gulf of Mexico personnel. The emphasis is on carefully integrating engineering and geologic data to develop bi-passed or new reserves in and around old fields. Triangle has a proven track record of finding and producing commercial reserves. Revenue from the assets to be acquired approximated US$ 25.0 million in 2007.   Triangle operates the MO 861 property with the remainder of the offshore interests being operated by established Gulf of Mexico operators, SPN, Mariner, Petsec and Beryl. Brammer operates the Ridge onshore property. The company holds interests in eight producing blocks in federal waters and one onshore property in Louisiana. The portfolio to be acquired by Providence comprises all of Triangle's material hydrocarbon assets.   Asset Interest Oil/Gas Operator Ship Shoal - SS252/253/267 ~50%* Oil/Gas SPN Main Pass - MP19 45% Oil/Gas Petsec East Cameron - EC257 12.5% Gas SPN Mobile - MO861 50% Gas Triangle Vermillion - VR60 50% Gas SPN West Cameron - WC333 32.5% Gas Mariner Main Pass - MP 89 (back in Rights for 25%   Gas Beryl of 70%**) Ridge (30%) - Onshore 30% Gas Brammer   * Interest is earned through each well bore. ** Back in rights means that Triangle has the right to take 16.8% working interest in Main Pass 89 lease once the Operator, Beryl, has achieved Project payout. Details on Project payout are still awaited from the Operator. No consideration is payable by Triangle to acquire this working interest.         ---END OF MESSAGE---
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