Oil and gas exploration and production company, Providence Resources, has confirmed the high productivity potential of oil bearing rock on the Barryroe discovery in the North Celtic Sea Basin, offshore Ireland.

In early May 2012, the first post drill study detailing results of seismic inversion work confirmed that the basal hydrocarbon bearing sandstone package can be directly mapped from 3D seismic data.

The data also indicated that this basal reservoir sequence is widely developed in the Barryroe area.

Providence has completed further analysis of the 48/24-10z well test data, which were acquired by Schlumberger during well testing operations.

"The Barryroe basal sands could potentially deliver oil at significantly higher production rates."

This analysis indicates that the tested basal oil bearing sandstone package is of high quality, with an average test derived permeability of 400 millidarcies, Providence said.

The analysis forecasts that a 1,000m horizontal well could deliver an initial production of 12,500 barrel of oil per day and 11 million cubic feet a day.

Providence technical director, John O’Sullivan, said these figures demonstrate that the Barryroe basal sands could potentially deliver oil at significantly higher production rates than were previously modelled.

"In addition, given that the seismic modelling is allowing us to directly map the reservoir interval from the 3D seismic data, we are now in a better position to plan for horizontal wells and benefit from their associated material incremental well production rates," said O’Sullivan.

Further well deliverability analysis and optimisation studies are being conducted to see how to incorporate an artificial lift in the field’s development, the company added.

New oil in place estimates are expected to be finalised in the third quarter of 2012, with estimated recoverable reserves and an associated development concept available in the fourth quarter of the year.

Providence is the operator of the prospect and holds an 80% interest and its partner Lansdowne has a 20% interest.