Singleton Oil Well Brought on Stream
20 December 2005
Providence Resources plc
SINGLETON OIL WELL BROUGHT ON STREAM
* Initial production in line with expectations
* Accesses new areas in oilfield
* Consistent with Providence's stated strategy of increasing daily
oil production
Providence Resources Plc ("Providence" or "the Company") is today
(Wednesday, 21st December 2005) pleased to announce that the X-9
production well has been successfully brought on stream in the
Singleton oilfield, onshore UK and that the X-8x well is expected to
be brought on stream later this week.
The field, in which Providence holds a 20% equity interest, is
operated by Star Energy Plc and is located within the Weald Basin in
the South of England. These new horizontal wells were designed to
develop reserves not presently accessed by the existing
revenue-generating production wells. The wells which involved the
application of extended reach technology were drilled utilising the
Marriott-7 drilling unit.
The objective was to increase daily oil production by between 50% to
100%.
Once production rates have stabilised, a further release will issue.
Tony O'Reilly Jnr., CEO of Providence commented:
"We are delighted at the initial outcome of our 2005 Singleton
development drilling programme as it heralds an important step in our
objective to increase our daily oil production."
Ends. Wednesday, 21st December 2005
Contacts:
Providence
Tony O'Reilly Jnr. Chief Executive Tel: +353 1 667 5740
Powerscourt Tel: +44 (0) 207 236 5615
Rory Godson Mob: +44 (0) 7909 926 020
Victoria Brough Mob:+44 (0) 7967 044 840
Murray Consultants
Pauline McAlester Tel: +353 1 498 0300
NOTES TO EDITORS
About the Singleton Oilfield
The Singleton oilfield is situated onshore UK in the Weald Basin,
West Sussex. Providence holds a 20% equity interest in the field,
which is operated by Star Energy Plc. The field, which contains good
quality oil in Jurassic-aged carbonate reservoirs is thought to
contain ~74 MMBO STOIIP. At present four wells are producing ~400
BOPD and the total production to date has been ~3 MMBO. In addition
to the oil production, the Singleton partners utilise produced gas
from the field in power generation which is sold to local users and
which generates further revenue streams from the field.
The Singleton X-8x well is situated on the northern flank of the
field and a 2,000 foot horizontal section was drilled and completed
in the Cornbrash and Forest Marble sequences. These units, which lie
above the main reservoir in the field, are presently not in
production though they are known to be oil-bearing.
The Singleton X-9 well was designed to probe the main Great Oolite
reservoir in the southwest flank of the field. The Operator believes
that the extended-reach Singleton X-9 well broke the record for the
longest 8.5" hole section drilled onshore UK. The 8.5" hole section
was drilled from 1,142 feet to 9,282 feet, a length of 8,140 feet.
The well has been TD'd at 9,831 feet in 6" hole.
Participating interests in the Singleton field are:
Star Energy UK Onshore Limited (Operator) 79.125%
Providence Resources P.l.c. 20.000%
Noble Energy (Europe) Limited 0.875%
About Providence Resources Plc
Providence's active oil and gas portfolio includes interests in
Ireland (offshore), the UK (onshore and 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 the AIM Admission document, Annual Report 2004
and Interim Report 2005 are all available from Providence's website
at www.providenceresources.com
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