Embargo7am

7thFebruary2011

PROVIDENCEANDSHELLSIGNMEMORANDUM
OFAGREEMENT

ProvidenceResourcesP.l.c.,(Providence)theIrishoilandgasexplorationandproduction
company,whosesharesarelistedinLondon(AIM)andDublin(ESM),ispleasedtoconfirmthatit
hassignedaMemorandumofAgreementwithShellInternationalTradingandShippingCompany
Limitedtonegotiateanoilofftakesaleandpurchaseagreementrelatingtofuturepotentialoil
productionfromitsBarryroeandHookHeadoildiscoveries,locatedintheNorthCelticSeaBasin
offthesouthcoastofIreland.

Contacts:

ProvidenceResourcesPlc
TonyOReilly

Powerscourt

RobGreening/LisaKavanagh

MurrayConsultants

PaulineMcAlester

CenkosSecuritiesPlc

NickWells/AdrianHargrave

J&EDavy

StephenBarry

Tel:+353(0)12194074

Tel:+44(0)2072501446

Tel:+353(0)14980300

Tel:+44(0)2073978900

Tel:+353(0)16796363

NOTESTOEDITORS:

AboutProvidence
ProvidenceResourcesPlcisanindependentoilandgasexplorationandproductioncompanylistedontheAIM
marketinLondonandonDublinsESMmarket.ProvidencesactiveoilandgasportfolioincludesinterestsinIreland,
theUnitedKingdom,theUnitedStates(GulfofMexico)andWestAfrica(Nigeria).Providencesportfolioisbalanced
betweenproduction,appraisalandexplorationassets,aswellasbeingdiversifiedgeographically.Furtherinformation
onProvidenceanditsoilandgasportfolio,includingAnnualReportsareavailablefromProvidenceswebsiteat
www.providenceresources.com.

AboutShellTrading
TheShellTradingbusinessencompassesthefullrangeoftradingandshippingactivitiesthroughouttheShellGroup.
Withtradingvolumesofabout13millionbarrelsofoilequivalentperday,spreadoverphysicalcrudeoil,refined
products,naturalgas,electricalpower,chemicalfeedstocksandenvironmentalproducts,theorganisationhastheskill
baseandinternationalscopetocapitaliseontradingopportunitiesinherentinShellsassetandmarketpositions
aroundtheworld.Formoreinformation,visitwww.shell.com.

AboutBarryroe
TheBarryroeoildiscoveryliesdirectlybelowtheSevenHeadsGasFieldwhereoilhasbeensuccessfullytestedatflow
ratesofbetween1,300and1,600BOPD,fromthreeexplorationorappraisalwells.Thereservoirsandsareof
CretaceousMiddleandLowerWealdenagelocatedbetweenc.4,500TVDSSand7,550TVDSS.Theoilislight(30to
42degreesAPI)andcontainsrelativelyhighwaxcontentrangingfrom12to22percent,whichmayrequiretreatment
atsurface.AthirdpartyauditcarriedoutbyRPSEnergyforLansdowneindicatedP50andP10STOIIPestimatesfor
Barryroeof373MMBOand893MMBO,respectively.Thecorresponding2Cand3CBarryroerecoverablecontingent
resourcesare59MMBOand144MMBO,respectively.Providenceholdsanoperated50.0%interestinBarryroewith
partnersSanLeonEnergyplc(30.0%)andLansdowneOil&Gasplc(20.0%).

AboutHookHead
TheHookHeadoildiscoveryislocatedintheNorthCelticSeaBasininc.80metrewaterdepthandissituatedsomec.
65kilometersoffthesouthcoastofIreland.OriginallydiscoveredbyMarathonoilin1971,fourwellshavebeendrilled
todateonthestructureallofwhichhaveeitherloggedand/ortestedhydrocarbonstosurface.Analysissuggeststhat
theoilappearstobeahighpourpointcrudewithagravityof27oAPIandwaxcontentof1020%.Themostrecentin
housevolumetricestimatessuggestthatthisoilaccumulationcouldcontainaninplaceresourcepotentialofuptoc.
120MMBO.Providencecurrentlyholdsanoperated72.5%interestinHookHeadwithpartnersAtlanticPetroleum
(18.5%)andSosinaExploration(9%).InOctober2010,ProvidencegrantedSosinaExplorationanoptiontoacquirea
50%equityinterestinHookHeadinreturnfortheforthedrillingofanappraisalwellin2011.

Announcement
InaccordancewiththeAIMRulesGuidanceforMiningandOil&GasCompanies,theinformationcontainedinthis
announcementhasbeenreviewedandapprovedbyJohnOSullivan,ExplorationManagerofProvidenceResources
P.l.c.JohnOSullivanisaGeologygraduateofUniversityCollegeCorkandholdsaMastersinGeophysicsfromThe
NationalUniversityofIreland,Galway.JohnalsoholdsaMastersinTechnologyManagementfromtheSmurfit
GraduateSchoolofBusinessatUniversityCollegeDublinandispresentlycompletingadissertationleadingtoaPhD
inGeologyatTrinityCollege,Dublin.JohnisaFellowoftheGeologicalSocietyandamemberofthePetroleum
ExplorationSocietyofGreatBritain.Hehas20yearsexperienceintheoilandgasexplorationandproductionindustry
andisaqualifiedpersonasdefinedintheguidancenoteforMiningOil&GasCompanies,March2006oftheLondon
StockExchange.

SPE/WPC/AAPG/SPEEPetroleumResourceManagementSystem2007hasbeenusedinpreparingthisannouncement