Providence Resources plc : COMMERCIAL UPDATE - SPANISH POINT AREA FARM IN BY CAIRN ENERGY PLC

 Providence Resources plc : COMMERCIAL UPDATE - SPANISH POINT AREA FARM IN BY
                               CAIRN ENERGY PLC

For immediate release
7 May 2013

                    COMMERCIAL UPDATE - SPANISH POINT AREA
                         FARM IN BY CAIRN ENERGY PLC

  * CAIRN ENERGY PLC TO FARM INTO SPANISH POINT AREA LICENCES IN QUAD 35 IN
     THE PORCUPINE BASIN
     -               APPRAISAL WELL AT SPANISH POINT
      -             FURTHER WELL TO BE DRILLED ON ANOTHER TARGET
     -               3D SEISMIC AQUISITION

Providence Resources P.l.c., ("Providence") the Irish oil and gas exploration
& appraisal company, whose shares are listed in London (AIM) and Dublin (ESM),
notes the announcement by Cairn Energy Plc ("Cairn") that its wholly owned
subsidiary, Capricorn Ireland Limited, has agreed with Chrysaor and Sosina to
farm in to Frontier Exploration Licence 2/04, Frontier Exploration Licence
4/08 and Licensing Option 11/2 ("the licences"), all located in Quad 35 in the
Porcupine Basin, off the west coast of Ireland.

Under the terms of the deal agreed with Chrysaor and Sosina, Cairn will earn a
38% equity stake in the licences by paying 63.33% of future exploration and
appraisal costs for up to two wells, subject to a cap. Costs in excess of
this cap will be shared by the parties according to their equity interests.
Providence, who already has a promoted farm in with Chrysaor, which includes a
$20 million well cap on the first appraisal well at Spanish Point, is not
availing of this farm in promote and will stay at its 32% equity level. Based
on latest rig scheduling from Cairn/Chrysaor, the partners now plan to drill
the appraisal well at Spanish Point in Q2 2014, with a follow on well to be
drilled on another target at a later date. The partners also currently expect
to propose an extensive 3D seismic work programme on LO 11/2.

As a result of this farm-in, the revised equity participation will be Cairn
38%, Chrysaor 26%, Providence 32% and Sosina 4%, with Cairn assuming the role
of Operator for the area. This farm in is subject to partner consent and
approval from the Minister for Communications, Energy and Natural Resources.

Commenting on the farm-in, Tony O'Reilly, Chief Executive said:

"We are delighted to welcome Cairn into our partnership in the Porcupine
Basin. The arrival of a major independent operator like Cairn, with their deep
water experience and their technical and financial strengths, provides further
validation of the real potential of the Irish offshore and we look forward to
working with them in the upcoming appraisal drilling at Spanish Point in 2014
and subsequent drilling and exploration activities within Quad 35."

Providence Resources P.l.c.    Tel: +353 1 219 4074
Tony O'Reilly, Chief Executive
Powerscourt                    Tel: +44 207 250 1446
Lisa Kavanagh / Rob Greening
Murray Consultants             Tel: +353 1 498 0300
Pauline McAlester
Cenkos Securities Plc          Tel: +44 207 397 8900
Adrian Hargraves / Nick Wells
J&E Davy                       Tel: +353 1 679 6363
Eugenee Mulhern
Liberum                        Tel: +44 203 100 2000
Clayton Bush

ABOUT PROVIDENCE
Providence Resources Plc is an Irish based oil & gas exploration, appraisal
and development company with a portfolio of appraisal and exploration assets
offshore Ireland and the U.K. The Company is currently leading a circa $500
million multi-year drilling programme on a number of exploration/development
wells over 6 different basins offshore Ireland, representing the largest
drilling campaign ever carried out offshore Ireland
www.providenceresources.com.

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 member of The Petroleum Exploration Society of Great
Britain. Definitions in this press release are consistent with SPE guidelines.

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

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Source: Providence Resources plc via Thomson Reuters ONE
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