Providence Resources has said that after the appointment of its new chief executive Alan Linn last month, it is mainly focused on the successful appraisal of its Barryroe field and on finalising plans to facilitate its future development. 

In an update, Providence said it has "sufficient" working capital to fund its costs up to the end of March or early April.

But it said that additional funds will be required to provide sufficient working capital to support the business in the near term and the board is currently considering its funding options.

Providence also said it has completed its redundanccy programme and materially reduced its cost base. 

The exploration company today said it had restarted the farm-out process for its Barryroe field off the Co Cork coast, adding that a number of companies are "actively" assessing the field data.

It said after its review of Barryroe's resource potential, several additional companies not included within the initial process have expressed interest in the gas potential and have been invited into the data room.

Providence said the Barryroe appraisal work programme is expected to include at least two appraisal wells and an extended production test. 

"The Barryroe structure has been independently verified as containing large volumes of both gas and oil, and the proposed appraisal programme is expected to confirm the presence of either a large oil field with a gas cap or a large gas field surrounded by an oil rim," the company said. 

It added that the appraisal programme is being designed to directly address these reservoir uncertainties, and deliver the information required to support development planning ahead of an investment decision.

The company also said it is assessing the potential for a carbon neutral gas development as an option for the Barryroe field. 

Several nearby depleted gas fields are being prepared for decommissioning and industry studies have assessed their potential for carbon sequestration - the storage of CO2 within the depleted gas fields.  

"It may be possible to minimise the carbon footprint of a Barryroe development by recycling some of the existing pipelines and infrastructure associated with the depleted fields and participating in a broader carbon capture initiative," it added.
 
Providence's Barryroe project is the most advanced and appraised oil project offshore Ireland. 

But it still needs to be appraised by additional drilling before major capital commitment to its development will be made. 

In October, Providence Resources failed to received $9m in expected funding from Chinese investor APEC Energy Enterprises. The funds had been intended to cover the exploration costs at the site off the Cork coast.

Then CEO Tony Mr O'Reilly said he had staked his reputation on the issue of the Chinese funding, which initially had been due in June and the deadline for which had been extended on several occasions. 

He resigned as CEO in December.

Shares in the company jumped almost 13% in Dublin trade today.