Providence Resources plc : Preliminary Results for the year ended 31st December 2012

    Providence Resources plc : Preliminary Results for the year ended 31st
                                December 2012

8th May 2013
Embargo: 7am

                         PROVIDENCE RESOURCES P.l.c.
                       ("Providence" or the "Company")
                             Preliminary Results
                    for the year ended 31^st December 2012

Providence Resources P.l.c., the Irish oil and gas exploration and appraisal
company, whose shares are quoted in London (AIM) and Dublin (ESM), announces
its preliminary results for the year ended 31st December 2012.

OPERATIONAL HIGHLIGHTS

DRILLING PROGRAMME

The year 2012 was a landmark year for Providence as operations on the first
well in the Company's multi-well, multi-year drilling programme offshore
Ireland were successfully completed at Barryroe. This $500 million, six well
programme is the largest and most comprehensive drilling programme undertaken
offshore Ireland, involving Providence and its partners in a number of
exploration and development / appraisal wells across six different basins
offshore Ireland.

This first of six wells, which was successfully tested in March 2012, was an
appraisal well on the Barryroe oil field in the North Celtic Sea Basin - the
results of which have far exceeded expectations. Drilling of the second well,
the Dunquin exploration well in the Porcupine Basin, off the west coast of
Ireland commenced in April 2013 and plans are now in place for a further
appraisal well to be drilled on the Spanish Point gas condensate field in Q2
2014, following the just announced farm in deal by Cairn Energy Plc. Two
additional exploration wells are planned to be drilled in the Rathlin and Kish
Bank Basins, whilst a further appraisal well is being planned to be drilled in
the St. George's Channel.

CELTIC SEA BASIN - BARRYROE OIL FIELD

  * Drilling and testing of 48/24-10z well with flow rates of 3,514 BOPD and
     2.93 MMSCFGD (c. 4,000 BOEPD), which materially exceeded pre-drill
     expectations. (March 2012)
                                       - Additional gas interval also
                                       successfully tested
  * Competent Person's Report (CPR) on Basal Wealden Sands issued by leading
     international audit firm Netherland Sewell & Associates Inc (NSAI)
     (April 2013)
  * Audited figures validate the significant volumetric and recoverable
     resources. Total on block audited figures (April 2013)
             -             2C STOIIP of 1.048 billion barrels
             -             2C Recoverable Resources of 311 MMBO
                                - Excludes additional recoverable gas
                                       in solution of 207 BCF (or 34.5 MMBOE)
  * Additional 778 MMBO STOIIP (P50) identified in logged hydrocarbon bearing
     intervals within stacked Lower Wealden and Purbeckian sandstones
     (September 2012)
  * Two year Licensing Option granted over adjacent c. 500 sq km area north
     and west of Barryroe (August 2012)
  * Phase 2 Development Engineering Study now complete
  * Farm out process has now commenced
  * Forward Plan - Field development preparation studies and post well
     analysis; farm out

SOUTH PORCUPINE BASIN - DUNQUIN OIL/GAS PROSPECT

  * Commencement of drilling operations (April 2013) with results expected
     later this summer
  * Forward Plan - Await drilling results

PORCUPINE BASIN - SPANISH POINT GAS CONDENSATE FIELD

  * Pre-drill site survey completed (August 2012)
  * Farm in by Cairn Energy in to FEL's 2/04 and 4/08, and LO 11/2 (May 2013)
         -    Revised Equity levels - Cairn 38.0%, Providence 32.0% , Chrysaor
              26%, and Sosina 4.0%
         -    Farm in calls for up to 2 wells to be drilled & 3D seismic on LO
              11/2
         -    Cairn to become Operator
  * Forward Plan - Appraisal well to be
     drilled; 3D Seismic

RATHLIN BASIN - POLARIS OIL PROSPECT

  * Awarded Rathlin Basin Licence P1885 (offshore) ( January 2012)
  * Airborne Full Tensor Gradiometry survey completed (September 2012)
  * Polaris structure identified (September 2012)
  * Forward Plan - Exploration well to be drilled

ST. GEORGE'S CHANNEL BASIN - DRAGON GAS FIELD

  * Awarded UK Licence P1930 over UK seaward block 103/1 (January 2012)
  * Forward Plan - Appraisal well to be drilled

KISH BANK BASIN - KISH OIL PROSPECT

  * Receipt of Foreshore Licence (October 2012)
  * Voluntary surrender of Foreshore Licence due to the incorrect
     transposition of certain EU EIA directives into Irish law in 1999 by the
     Irish government, rendering the licence invalid (February 2013).
  * Forward Plan - Exploration well to be drilled

OTHER FUTURE DRILLING OPPORTUNITIES
SOUTH PORCUPINE BASIN - DROMBEG PROSPECT

  * Completion of seismic inversion studies by Ikon Science (August 2012)
  * Announced significant resource potential (P50 872 MMBO REC), based on an
     oil-in-place volume of 2,970 BBO (November 2012)
  * Forward Plan - Technical evaluation of future hydrocarbon potential; Farm
     out; 3D seismic

GOBAN SPUR BASIN - NEWGRANGE PROSPECT

  * Repsol assumed role of Operator (March 2012)
  * Forward Plan - Technical evaluation of future hydrocarbon potential

SLYNE BASIN - KYLEMORE AND SHANNON PROSPECTS

  * Updated mapping of Kylemore; re-evaluation of Shannon resource potential
     carried out; Gas potential of 228 BCF identified (April 2012)
  * Forward Plan - Technical evaluation of future hydrocarbon potential

All planned drilling, site and seismic activities are based on relevant permit
requirements and appropriate equipment availability / procurement.

FINANCIAL HIGHLIGHTS

This announcement has been prepared on the basis of the results and financial
position that the Directors expect will be reflected in the audited statutory
financial statements when these are completed.

SHARE PLACING

  * Successful placing of 13.149 million new ordinary shares at stg £4.80 per
     share to raise gross proceeds of US$100 million (stg £63 million); the
     shares were placed at a premium to the then market price and the net
     proceeds were used to fund the increased equity participation in Barryroe
     (from 50% to 80%), to complete the repayment of the Convertible Bond and
     to contribute to costs of the multi-well drilling programme (April 2012)

CONVERTIBLE BOND REPAYMENT

  * Final tranche of proceeds from sale of AJE Field (offshore Nigeria)
     received (US$6 million) and used to part-pay down Convertible Bond (April
     2012)
  * Repayment of final balance on Convertible Bond of €29.7 million funded
     from the proceeds of the April $100 million share placing. During 2012,
     total bond repayments of €34.3 million were made, repaying the
     Convertible Bond in full prior to the scheduled maturity (July 2012)

SALE OF ONSHORE UK ASSETS

  * Sale of UK onshore assets (Singleton oil field, Baxter's Copse
     development project and Burton Down exploration prospect) to I Gas Energy
     Plc for a consideration of $66 million (February 2013)
  * Sale proceeds were used to extinguish all remaining corporate debt (c.
     $44 million), with surplus funds available for investment in drilling
     activities offshore Ireland

FINANCIAL RESULTS - YEAR END 2012

  * With the divestment of the UK onshore operations, the financial results
     for 2012 now classify Singleton and the UK onshore activities as
     "discontinued operations" and, accordingly, the comparative 2011 results
     are shown as re-presented. 
  * For the year to 31 December 2012, the Company recorded an operating loss
     of €5.432 million compared to a loss of €4.079 million in 2011 as a
     result of higher administration expenses related to an increased level of
     activity associated with the multi-basin drilling campaign.
  * The loss for the year from "continuing operations" was lower at €8.233
     million compared to a loss of €9.096 million in 2011. The loss from
     "discontinued operations" amounted to €15.950 million compared to a loss
     of €4.844 million in 2011.
  * The loss for the year attributable to equity holders (comprising both
     "continued operations" and "discontinued operations") amounted to €24.183
     million (€13.940 million in 2011).
  * The loss per share from "continuing operations" was 13.51 cents (19.45
     cents in 2011). When combined with the loss per share from "discontinued
     operations" of 26.17 cents (10.36 cents in 2011), the total loss per
     share was 39.68 cents compared to a loss of 29.81 cents in 2011.
  * At 31 December 2012, cash and cash equivalents were €16.831 million, with
     this figure excluding the receipt of the proceeds from the sale of the UK
     onshore business to IGas of $66 million, of which approximately $44
     million was used to repay back the Deutsche Bank debt facility with the
     balance made available for general working capital purposes.
  * Over the past 18 months, the Company has reduced debt levels by c €75
     million and the Company is now debt free.

Commenting on activity during 2012 and the future drilling plans offshore
Ireland for 2013 and beyond, Tony O'Reilly, Chief Executive of Providence
Resources P.l.c., said:

"2012 was a truly transformational year for Providence, with the most notable
event being the successful drilling and well testing on the Barryroe oil field
in the Celtic Sea Basin, the first well in our multi-basin drilling campaign
offshore Ireland. The Barryroe test results in March came in far above all
pre-drill expectations and the subsequent post-well analysis has confirmed the
true potential of Barryroe.

"In April 2013, the independent Netherland Sewell & Associates, Inc. (NSAI)
resource audit further substantiated the scale of Barryroe and this has
enabled the Company to take a big step forward in advancing its plans to
commercialise Ireland's first oil field. Barryroe has not only exceeded
expectations, but has also opened other opportunities in the Celtic Sea, and
it has helped to redefine the industry view on the Irish offshore and its'
potential. We are now proceeding with the farm-out discussions to attract a
suitably qualified partner to advance the project and take it to first oil.

"All in all, the success of Barryroe has helped to redefine the industry view
on the Irish offshore. It has also had an extremely positive impact on both
the asset portfolio and the financial well-being of the Company. The
improvement in the financial footing of the Company can be best confirmed by
the complete restructuring of the balance sheet over the past 18 months, with
assets sales and capital raisings facilitating debt levels to be reduced by
approximately €75 million, leaving the Company completely debt free.

"Aside from Barryroe, we and our partners are continuing with all the
necessary preparations on the balance of our multi-basin drilling programme
where a further five wells are planned in the programme. In April 2013, we
announced the commencement of drilling operations at the ExxonMobil-operated
Dunquin oil/gas prospect in the southern Porcupine Basin. This exploration
well, which is one of the deepest wells ever drilled offshore Ireland, is
testing a new play concept in the southern Porcupine Basin and will be keenly
watched by the industry. Based on the forward plans, results from this well
are expected later this summer.

"Looking further ahead, we plan to drill two further appraisal projects -
Spanish Point in the northern Porcupine Basin and Dragon in St George's
Channel Basin. Both fields are similar to Barryroe in that they have
previously flowed hydrocarbons and they are now being re-examined availing of
today's new technology and pricing environment. Importantly, both fields have
had extensive 3D seismic acquired over them and this will be very important
for their upcoming appraisal drilling. Notably, leading international
independent, Cairn Energy, has just farmed in to the Spanish Point licences in
advance of the upcoming drilling.

"We also have a further two exploration prospects to be drilled in the Rathlin
Basin (Polaris) and the Kish Bank Basin, offshore Dublin. Earlier this year,
due to a technical licensing matter, we voluntarily surrendered our foreshore
licence over the Kish Bank Basin to allow for new legislation to be put in
place by the Irish government. As soon as the new legislation is put in place,
we plan to re-apply for a foreshore licence.

"We also continue to look at new exploration and appraisal opportunities for
future drilling in other basins, such as Drombeg, in the Southern Porcupine
Basin, which has already generated significant industry interest, and
Newgrange, in the Goban Spur Basin, which is operated by Repsol. Importantly,
all of the wells in our multi-basin drilling programme are what we term
"pathfinder wells": in other words, by testing any one petroleum play, we have
the potential to prove up many adjacent prospects in each of the respective
basins.

"Partnership has always been a key part of Providence's strategy, and we carry
out our drilling programmes with an array of notable co-venture companies,
including ExxonMobil, ENI, PETRONAS, Repsol, Chrysaor, First Oil Expro,
Sosina, Lansdowne and Atlantic Petroleum and we are very pleased to welcome
Cairn Energy Plc into our Spanish Point consortium, where they are taking a
38% equity stake and becoming Operator. All of these partners bring both
technical capabilities and financial support, which allow us to move forward
with our extensive programme of exploration and drilling activities offshore
Ireland.

"Providence has always believed in the material hydrocarbon prospectivity of
offshore Ireland. As the only Irish independent E&P company actually drilling
offshore Ireland, we were very pleased with the success at Barryroe, which has
firmly validated this view. Furthermore, in addition to the operational
success of the past year, Providence has also completely restructured its
balance sheet over the last 18 months and is now entirely debt free. We
therefore feel extremely well placed to capitalise on the positive momentum
that we have built up in 2012, and to firmly embrace the advances in
technology, infrastructure, the fiscal regime and higher oil prices in order
to unlock the hydrocarbon potential offshore Ireland".

Tony O'Reilly   8^th May 2013
Chief Executive

Contacts:

Providence Resources P.l.c.         Tel: +353 1 219 4074
Tony O'Reilly, Chief Executive
John O'Sullivan, Technical Director
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

TERMS USED IN THIS ANNOUNCEMENT:
CPR - Competent Person's Report
BBO - Billion Barrels of Oil   
MMBO - Million Barrels of Oil
MMBOE - Million Barrels of Oil Equivalent
BCF - Billion Cubic Feet of Gas
BOPD - Barrels of Oil Per Day
BOEPD - Barrels of Oil Equivalent per Day
STOIIP - Stock Tank Original Oil in Place
MMSCFGD - Million Standard Cubic Feet of Gas per Day

ABOUT PROVIDENCE
Providence Resources Plc is an Irish based oil & gas exploration and appraisal
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.

PROVIDENCE RESOURCES P.l.c.
Condensed consolidated income statement
For the year ended 31 December 2012

                                    Notes Year ended 31 Year ended 31 December
                                          December 2012          2011
                                             Audited           Audited
                                              €'000             €'000
                                                           (re-presented*)
Revenue - continuing operations         1             -                      -
Administration expenses                         (3,937)                (1,850)
Pre-licence expenditure                               -                  (117)
Loss on disposal of asset                             -                  (381)
Impairment of exploration,                     (1,495)                (1,731)
evaluation
and production assets
Operating loss                                  (5,432)                (4,079)
Finance income                                      494                    134
Finance expense                         3       (3,295)                (5,151)
Loss before income tax                          (8,233)                (9,096)
Income tax expense                                    -                      -
Loss for the year from continuing               (8,233)                (9,096)
operations
Loss from discontinued operations       2      (15,950)                (4,844)
(net of income tax)
Loss for the year                              (24,183)               (13,940)
Loss per share (cent) - continuing
operations
Basic loss per share                    8       (13.51)                (19.45)
Diluted loss per share                  8       (13.51)                (19.45)
Loss per share (cent) -
discontinued operations
Basic loss per share                            (26.17)                (10.36)
Diluted loss per share                          (26.17)                (10.36)
Loss per share (cent) - total
Basic loss per share                            (39.68)                (29.81)
Diluted loss per share                          (39.68)                (29.81)

*The comparative income statement has been re-presented as if the operations
discontinued during the current year had been discontinued from the start of
the comparative year.

PROVIDENCE RESOURCES P.l.c.
Consolidated statement of comprehensive income
For the year ended 31 December 2012

                                                   Year ended 31 Year ended 31
                                                   December 2012 December 2011
                                                      Audited       Audited
                                                       €'000         €'000
Loss for the financial year                             (24,183)      (13,940)
Foreign exchange translation differences                    (97)       (1,533)
Net change in fair value of cash flow hedges               2,305         1,342
transferred to income statement
Cashflow hedges  - net fair value loss                        -       (2,449)
               - related deferred          3,407         2,057
tax
Total income and expense recognised in other               5,615         (583)
comprehensive income
Total comprehensive expense                             (18,568)      (14,523)

The total comprehensive expense for the period is entirely attributable to
equity holders of the Company.

PROVIDENCE RESOURCES P.l.c.
Consolidated statement of financial position
As at 31 December 2012

                                       Notes 31 December 2012 31 December 2011
                                                 Audited          Audited
                                                  €'000            €'000
Assets
Exploration and evaluation assets        4             67,076           36,214
Development and production assets        5                  -           46,159
Property, plant and equipment                              42               32
Derivative instruments                                      -            5,111
Deferred tax                                                -            5,887
Total non-current assets                               67,118           93,403
                                                      _______          _______
Trade and other receivables                             4,005            6,626
Derivative instruments                                      -              513
Restricted cash                                             -           17,491
Cash and cash equivalents                              16,831           18,563
Assets classified as held for sale                     43,852                -
Total currents assets                                  64,688           43,193
                                                      _______          _______
Total assets                                          131,806          136,596
Equity
Share capital                            6             18,136           16,668
Capital conversion reserve fund                           623              623
Share premium                            6            209,975          130,548
Singleton revaluation reserve                           2,471            2,650
Convertible bond - equity portion                           -            2,333
Foreign currency translation reserve                  (3,752)          (3,655)
Share based payment reserve                             4,942            4,368
Warrant reserve                                             -            5,641
Cashflow hedge reserve                                      -          (2,305)
Retained deficit                                    (164,297)        (148,994)
Total equity attributable to equity                    68,098            7,877
holders of the Company
Liabilities
Loans and borrowings                     7                  -           30,033
Decommissioning provision                               4,738            5,165
Deferred tax                                                -           24,091
Derivative instruments                                      -                -
Total non-current liabilities                           4,738           59,289
Trade and other payables                               23,445           27,651
Loans and borrowings                     7                  -           33,447
Loans and borrowings - prepaid swap      7                  -            8,332
Liabilities classified as held sale                    35,525                -
Total current liabilities                              58,970           69,430
Total liabilities                                      63,708          128,719
Total equity and liabilities                          131,806          136,596

PROVIDENCE RESOURCES P.l.c.
Consolidated statement of changes in Equity
For the year ended 31 December 2012

               Share   Capital    Share   Singleton     Foreign    Share  Warrants Convert-ible Cash-flow Retained   Total
              Capital Conversion Premium Re-valuation  Currency    Based   €'000      Bond -      Hedge    Deficit   €'000
               €'000   Reserve    €'000    Reserve    Translation Payment             equity     Reserve    €'000
                         Fund               €'000       Reserve   Reserve            portion      €'000
                        €'000                            €'000     €'000              €'000
At 1 January   15,058        623  86,918        2,919     (2,122)   3,537    5,641        2,944   (3,255) (136,001) (23,738)
2011
Loss for            -          -       -            -           -       -        -            -         -  (13,940) (13,940)
financial
year
Currency            -          -       -            -     (1,533)       -        -            -         -         -  (1,533)
translation
Cashflow            -          -       -            -           -       -        -            -       950         -      950
hedge
Total          15,058        623  86,918        2,919     (3,655)   3,537    5,641        2,944   (2,305) (149,941) (38,261)
comprehensive
income
Transactions
with owners,
recorded
directly in
equity
Shares issued   1,610          -  43,630            -           -       -        -            -         -         -   45,240
in year
Share based         -          -       -            -           -     898        -            -         -         -      898
payments
Share options       -          -       -            -           -    (67)        -            -         -        67        -
forfeited in
year
Transfer from       -          -       -        (269)           -       -        -            -         -       269        -
Singleton
revaluation
reserve
Bond                -          -       -            -           -       -        -        (611)         -       611        -
redemption
At 31          16,668        623 130,548        2,650     (3,655)   4,368    5,641        2,333   (2,305) (148,994)    7,877
December 2011
At 1 January   16,668        623 130,548        2,650     (3,655)   4,368    5,641        2,333   (2,305) (148,994)    7,877
2012
Loss for            -          -       -            -           -       -        -            -         -  (24,183) (24,183)
financial
year
Currency            -          -       -            -        (97)       -        -            -         -         -     (97)
translation
Cashflow            -          -       -            -           -       -        -            -     2,305         -    2,305
hedge
Total          16,668        623 130,548        2,650     (3,752)   4,368    5,641        2,333         - (173,177) (14,098)
comprehensive
income
Transactions
with owners,
recorded
directly in
equity
Shares issued   1,314          -  72,415            -           -       -        -            -         -         -   73,729
in year
Share based         -          -       -            -           -   1,301        -            -         -         -    1,301
payments
Share options      14          -     252            -           -   (238)        -            -         -       238      266
exercised in
year
Share options       -          -       -            -           -   (489)        -            -         -       489        -
forfeited in
year
Transfer from       -          -       -        (179)           -       -        -            -         -       179        -
Singleton
revaluation
reserve
Exercise of       140          -   6,760            -           -       -  (5,641)            -         -     5,641    6,900
warrants
Bond                -          -       -            -           -       -        -      (2,333)         -     2,333        -
redemption
At 31          18,136        623 209,975        2,471     (3,752)   4,942        -            -         - (164,297)   68,098
December 2012

PROVIDENCE RESOURCES P.l.c.
Consolidated statement of cash flows 
For the year ended 31 December 2012

                                                   Year ended 31 Year ended 31
                                                   December 2012 December 2011
                                                      Audited       Audited
                                                       €'000         €'000
Cash flows from operating activities
Loss before income tax for year - continuing             (8,233)       (9,096)
operations
Loss before income tax for the year - discontinued      (36,524)         (341)
operations
                                                        (44,757)       (9,437)
Adjustments for:
Depletion and depreciation                                 2,755         2,634
Loss on disposal                                               -           381
Abandonment provision                                         34             -
Impairment of exploration and evaluation assets            1,495         1,731
Impairment of production and development assets           32,357         4,904
Finance income                                             (494)         (134)
Finance expense                                           16,369         5,378
Equity settled share based payment charge                 1,247           898
Foreign exchange                                           (507)         2,307
Change in trade and other receivables                    (3,782)         1,579
Change in restricted cash                                 16,581      (14,971)
Change in trade and other payables                       (2,696)        18,811
Interest paid                                            (6,712)       (6,798)
Tax paid                                                       -             -
Hedge repayments                                           (297)       (7,714)
Net cash inflow / (outflow) from operating                11,593         (431)
activities
Cash flows from investing activities
Interest received                                            494           134
Acquisition of exploration and evaluation assets        (31,755)      (27,576)
Acquisition of development and production assets        (27,202)       (8,889)
Acquisition of property, plant and equipment                (38)          (38)
Disposal of development and production assets -            4,610         7,759
AJE
Disposal of development and production assets -                -        10,475
Triangle
Net cash from investing activities                      (53,891)      (18,135)
Cash flows from financing activities
Proceeds from issue of share capital                      84,797        47,662
Share capital issue costs                                (3,902)       (2,422)
Repayment of loans and borrowings                       (44,273)      (56,540)
Proceeds from drawdown of loans and borrowings             4,077        39,033
Net cash from financing activities                        40,699        27,733
Net (decrease) / increase in cash and cash               (1,599)         9,167
equivalents
Cash and cash equivalents at 1 January                    18,563         9,171
Effect of exchange rate fluctuations on cash and           (133)           225
cash equivalents
Cash and cash equivalents at 31 December                  16,831        18,563

PROVIDENCE RESOURCES P.l.c.
Note 1
Segment Reporting

All revenue is generated from assets in the UK, and is included in
discontinued operations.

                                                   Year ended 31 Year ended 31
                                                   December 2012 December 2011
                                                      Audited       Audited
                                                       €'000         €'000
Segment net loss for the period
Republic of Ireland - exploration assets                 (1,495)       (1,848)
Africa - production and development assets                    -         (422)
Corporate expenses                                       (3,937)       (1,809)
Operating loss                                           (5,432)       (4,079)
Segment assets
UK - production and development assets- classified        43,852        61,943
as held for sale
UK - exploration assets                                      933             -
Republic of Ireland - exploration assets                  69,129        67,306
Africa - production and development assets                    -         4,637
US                                                           155            91
Group assets                                              17,737         2,619
Total assets                                             131,806       136,596
Segment Liabilities
UK - production and development assets -                (35,525)      (67,201)
classified as held for sale
Republic of Ireland - exploration                       (27,183)      (23,747)
US                                                         (252)       (1,343)
Group liabilities                                          (748)      (36,428)
Total Liabilities                                       (63,708)     (128,719)
Capital Expenditure
UK - producing assets - classified as held for            27,202         7,927
sale
UK - exploration assets                                      774             -
                                                          27,976         7,927
Republic of Ireland - exploration assets                  30,981        27,805
Property, plant and equipment                                 38            38
Africa - development and production assets                     -           245
Total Capital Expenditure                                 58,995        36,015
Depletion and decommissioning charge
UK - producing assets (discontinued operations)            2,727         2,505
Republic of Ireland - exploration assets                      34             -
                                                           2,761         2,505
Impairment charge
Republic of Ireland - exploration assets                   1,495         1,731
UK - development and production assets                    32,357         4,904
(discontinued operations)
                                                          33,852         6,635

PROVIDENCE RESOURCES P.l.c.
Note 2
Discontinued Operations

Held for sale assets and liabilities
UK disposal

Assets                            €'000
Development and production assets 38,986
Derivative instruments             2,163
Trade and other receivables        1,793
Cash and cash equivalents            910
                                  43,852
Liabilities
Loans and borrowings              31,725
Decommissioning provision            869
Deferred tax                       1,421
Trade and other payables           1,510
                                  35,525

                                                   Year ended 31 Year ended 31
                                                   December 2012 December 2011
                                                      Audited       Audited
                                                       €'000         €'000
Results of discontinued operations
Revenue                                                   15,642        13,752
Cost of sales                                            (5,455)       (4,055)
Gross profit                                              10,187         9,697
Administration expenses                                  (1,280)         (683)
Impairment of assets                                    (32,357)       (4,904)
Results from operating activities - UK disposal         (23,450)         4,110
Finance expense                                         (13,074)         (227)
Results from operating activities before tax - UK       (36,524)         3,883
disposal
Income tax credit/(charge)                                20,574       (4,503)
Results from operating activities after tax - UK        (15,950)         (620)
disposal
US disposal (see below)                                        -       (4,224)
Total                                                   (15,950)       (4,844)
Cashflow from discontinued operations
Net cash from operating activities                         9,726           794
Net cash from investing activities                      (27,202)       (8,889)
Net cash from financing activities                       (5,931)        35,113
Net cash flows for the period                           (23,407)        27,018

US disposal - 2011

                                                 €'000
Expenses, being loss from operating activities (2,421)
Loss on sale                                   (1,803)
                                               (4,224)

Related cash flows were

                                   €'000
Net cash from operating activities   279
Net cash from investing activities    16
                                     295

Earnings per share from discontinued operations

                          2012    2011
                        € cent  € cent
Basic loss per share   (26.17) (10.36)
Diluted loss per share (26.17) (10.36)

PROVIDENCE RESOURCES P.l.c.
Note 3
Finance Expense

                                                   Year ended 31 Year ended 31
                                                   December 2012 December 2011
                                                      Audited       Audited
                                                       €'000         €'000
Recognised in income statement:
Interest expense on financial liabilities -                3,021         4,781
measured at amortised cost
Unwinding of discount on decommissioning provision           274           370
Total                                                      3,295         5,151
Recognised directly in other comprehensive income
Foreign currency differences on foreign operations          (97)       (1,533)
Effective portion of change in fair value of                   -       (2,449)
cashflow hedge
Net change in fair value of cashflow hedge                 2,305         1,342
transferred to income statement
Total finance expense                                      2,208       (2,640)

PROVIDENCE RESOURCES P.l.c.
Note 4
Exploration and evaluation assets

                                      Republic of Ireland  UK   Africa  Total
                                             €'000        €'000 €'000   €'000
Cost and book value
At 1 January 2011                                  10,140     -      -  10,140
Additions                                          32,972     -      -  32,972
Administration expenses                             1,007     -     37   1,044
Cash calls received in year                       (6,440)     -      - (6,440)
Impairment charge                                 (1,731)     -      - (1,731)
Increase in abandonment costs                         266     -      -     266
Transfer to development and                             -     -   (37)    (37)
production assets
At 31 December 2011                                36,214     -      -  36,214
At 31 December 2011                                36,214     -      -  36,214
Additions                                          35,344   551      -  35,895
Cash calls received in year                       (5,507)     -      - (5,507)
Administration expenses                             1,144   223      -   1,367
Impairment charge                                 (1,495)     -      - (1,495)
Increase in abandonment costs                         602     -      -     602
At 31 December 2012                                66,302   774      -  67,076

PROVIDENCE RESOURCES P.l.c.
Note 5
Development and production assets

                                              UK       US     Africa   Total
                                            €'000    €'000    €'000    €'000
Cost
At 1 January 2011                            52,995   26,806   12,436   92,237
Additions                                     7,590        -      208    7,798
Transfer from exploration and evaluation          -        -       37       37
assets
Administration expenses                         337        -        -      337
Disposed of in year                              - (26,806) (12,681) (39,487)
Exchange rate adjustment                        911        -        -      911
At 31 December 2011                          61,833        -        -   61,833
Additions                                    27,144        -        -   27,144
Administration expenses                          58        -        -       58
Transfer to held for sale assets           (90,282)        -        - (90,282)
Exchange rate adjustment                      1,247        -        -    1,247
At 31 December 2012                               -        -        -        -
Depletion
At 1 January 2011                             8,024   26,806        -   34,830
Charge for the year                           2,505        -        -    2,505
Impairment of assets                          4,904        -        -    4,904
Eliminated on disposal                            - (26,806)        - (26,806)
Exchange rate adjustment                        241        -        -      241
At 31 December 2011                          15,674        -        -   15,674
Charge for the period                         2,727        -        -    2,727
Impairment of assets                         32,357        -        -   32,357
Transfer to held for sale assets           (51,296)        -        - (51,296)
Exchange rate adjustment                        538        -        -      538
At 31 December 2012                               -        -        -        -
Net book value
At 31 December 2012                               -        -        -        -
At 31 December 2011                          46,159        -        -   46,159

PROVIDENCE RESOURCES P.l.c.
Note 6
Share Capital and Share Premium

                                               Number
Authorised:                                     '000          €'000
At 1 January and 31 December 2012
Deferred shares of €0.011 each                1,062,442          11,687
Ordinary shares of €0.10 each                  123,131           12,313
                                   Number   Share Capital Share Premium
Issued:                             000's       €'000         €'000
Deferred shares of €0.011 each    1,062,442        11,687         5,691
Ordinary share of €0.10 each         33,712         3,371        81,227
At 1 January 2011                    33,712        15,058        86,918
Ordinary shares issued               16,097         1,610        46,052
Share issue costs                         -             -       (2,422)
At 31 December 2011                  49,809        16,668       130,548
Ordinary share issued                13,149         1,314        76,317
Share issue costs                         -             -       (3,902)
Share options exercised in year         140            14           252
Warrants exercised in year            1,400           140         6,760
At 31 December 2012                  64,498        18,136       209,975

PROVIDENCE RESOURCES P.l.c.
Note 7
Loans and Borrowings

                   Deutsche  Deutsche     BNP    BNP Loan Convertible  Total
                   bank loan bank loan Revolving   Fees      Bond
                   facility    fees    Facility
                     €'000     €'000     €'000    €'000      €'000     €'000
At 1 January 2011          -         -    47,582  (1,597)      39,802   85,787
Drawn down in year    39,033     (808)         -        -           -   38,225
Repaid during year   (3,112)         -  (44,866)        -     (7,735) (55,713)
Written off to             -        54         -    1,597       1,380    3,031
income statement
Foreign exchange       3,230      (32)   (2,716)        -           -      482
difference
At 31 December        39,151     (786)         -        -      33,447   71,812
2011
Repaid during       (10,008)         -         -        -    (34,265) (44,273)
period
Drawn down in year     4,077         -         -        -           -    4,077
Written off to             -       135         -        -         818      953
income statement
Foreign exchange       (825)      (19)         -        -           -    (844)
difference
Transfer to held    (32,395)       670         -        -           - (31,725)
for sale
liabilities
At 31 December             -         -         -        -           -        -
2012


PROVIDENCE RESOURCES P.l.c.
Note 8
Earnings per share

                                             31 December 2012 31 December 2011
                                                 Audited          Audited
Loss attributable to equity holders of the            (8,233)          (9,096)
company from continuing operations (€'000)
The basic weighted average number of
ordinary shares in issue
In issue at beginning of year ('000s)                  49,809           33,712
Adjustment for shares issued in year ('000s)           11,145           13,054
Weighted average number of ordinary shares             60,953           46,766
('000s)
Basic loss per share (cent) - continuing              (13.51)          (19.45)
operations
Diluted loss per share (cent) - continuing            (13.51)          (19.45)
operations

There is no difference between the loss per ordinary share and the diluted
loss per ordinary share for the current period as all potentially dilutive
ordinary shares outstanding are anti-dilutive.

PROVIDENCE RESOURCES P.l.c.
Note 9
Related party transactions

a.Mr. Tony O'Reilly Jnr, has, through Kildare Consulting Limited, a company
    beneficially owned by him, a contract for the provision of service to the
    company outside the Republic of Ireland effective 1 September 2011. The
    amount paid under the contract in the year ended 31 December 2012 was
    €650,250. The contract is of two years duration and is subject to one
    year's notice period.

PROVIDENCE RESOURCES P.l.c.
Note 10
Commitments

The Group has capital commitments of approximately €13.5m to contribute to its
share of costs of exploration and evaluation activities during 2013.

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Source: Providence Resources plc via Thomson Reuters ONE
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