2008-09-02-2008-05-07-2008-06-09

Acquired interests in 8 GOM producing fields, 2 under development, gaining 6 MMcfg/d, 300 BO/d net.

Dublin, Ireland-based Providence Resources Plc (London AIM: PVR) acquired all of the Gulf of Mexico assets of privately held Triangle Oil and Gas Inc., Lafayette, La., for US$67.5 million. The assets include interests in eight producing fields and two under development. Net production is approximately 6 million cubic feet of gas and 300 barrels of oil per day (approximately 1,300 barrels equivalent). Providence's daily production will increase to 2,000 barrels equivalent. The properties consist of a 50% interest in Ship Shoal 252, 253 and 267; 45% in Main Pass 19; 12.5% in East Cameron 257; 50% in Mobile 861; 50% in Vermilion 60; 32.5% in West Cameron 333; back-in rights for 25% of 70% in Main Pass 89; and 30% in the onshore Louisiana Ridge property. The purchase was financed through a US$250-million revolving credit facility with Macquarie Bank Ltd. Additionally, Providence issued Macquarie 10 million ordinary shares and warrants to purchase 30 million new ordinary shares at US$0.12 each. Providence chief executive Tony O'Reilly says, "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 Gulf of Mexico and see this acquisition as a springboard for future opportunities." Providence's portfolio includes interests offshore Ireland, the U.K. onshore and offshore, offshore U.S. and offshore Nigeria. Providence has existing interests in two other operations in the Gulf of Mexico, namely a 5% interest in High Island A268 in production and a 10.8% interest in Galveston A-155 in appraisal and development. Triangle focuses on operations in shallow waters of the central Gulf in less than 300 feet. Revenue from the assets being acquired totaled approximately US$25 million in 2007.