Providence Resources (LON:PVR) , the oil and gas exploration and production company, gave an update on its gas storage evaluation activities in the Kish Bank Basin, offshore Eastern Ireland. Providence has a 50% share in the prospect, partnered with Star Energy Group, a wholly owned subsidiary of Petronas, the state oil company of Malaysia.
The project set up to deter the potential for gas storage at the prospect was named the Ulysees when it first began in August 2008. The study covered the northern and western sectors of the shallow water Kish Bank Basin. Now these studies have enabled the company to confirm that the site may be suitable for offshore natural gas salt cavern development. Studies suggest that the area could hold up to c. 270 million tonnes of effective carbon storage capacity. The CEO of Providence, Tony O'Reilly, commented,
"We are delighted to confirm that our ongoing analysis of the Kish Bank Basin has revealed several notable geological structures that warrant further investigation. Through the ULYSSES study, the Kish Bank Basin has confirmed our earlier view that its geology could be suitable for potential natural gas salt cavern storage and carbon sequestration projects. Given the location of this basin, close to the city of Dublin, we believe that any potential gas storage development in the basin will be highly competitive given its geographic proximity."