Irish oil and gas exploration and production company Providence Resources has commited to drilling an exploration well on its Dalkey Island prospect off the Irish coast.

The exploration prospect is located in the Kish Bank Basin, about 10km offshore in about 25m of water.

Providence holds a 50 per cent stake in the option, with partner Star Energy Group.

"Having completed our technical assessment of the basin, the partners have elected to progress the Dalkey Island prospect into the drilling phase," said Providence technical director John O'Sullivan.

"Whilst considerable exploration risk still exists, the recent additional studies, which have revealed evidence of a highly mature oil prone source rock in the basin, have provided significant encouragement as a similar interval is considered to be the source for the prolific producing oilfields in the Liverpool Bay Area, offshore UK. ”

The partners have already begun the application for a foreshore licence to carry out well site survey and drilling operations.