Providence Resources Corp.

Providence Resources Corp.

May 02, 2012 11:00 ET

Providence/Eagle Plains Announce Airborne Gravity Geophysical Survey Results

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 2, 2012) - Providence Resources Corp. (TSX VENTURE:PV)(OTCQX:PRVSF) ("Providence" or the "Company") and Eagle Plains Resources Ltd. (TSX VENTURE:EPL) are pleased to announce receipt of results from property scale airborne gravity gradiometer geophysical survey carried out over their Iron Range JV project located near Creston British Columbia (see Fig. 1: In October-December 2011, Fugro Airborne Surveys conducted a high-sensitivity aeromagnetic and HeliFalcon™ survey over the Iron Range Project. The results have subsequently been processed and interpreted by Condor Consulting, Inc. The survey produced a total of 45 gravity targets including 8 high priority and 16 secondary priority targets which are slated for follow up exploration as part of the current 2012 drill program or during the 2012 field program. The anomalies defined by the gravity survey are ranked according to their association with favourable geology (e.g., lower middle contact Aldridge sedimentary rocks, tourmalinites and albite alteration), soil lead-zinc-arsenic anomalies, and geophysical anomalies (magnetic and electromagnetic anomalies).

Iron Range Project

The Iron Range deposits were originally staked in 1897, and were covered by Crown grants held by Cominco Ltd. and the Canadian Pacific Railway. Eagle Plains staked the current claims immediately after the Crown grants reverted in 2000, and it has been exploring the property since then. Exploration work to date includes geological mapping, geochemical surveys, diamond drilling and a 690-line-kilometre airborne geophysical survey. An additional 35,800 hectares of claims were added to the original land package, resulting in a total of 56,200 hectares -- an area approximately 11 km by 50 km. The land package now covers over 30 km of the Iron Range structure, most of it unexplored. The claims also overlie rocks of the Aldridge formation, including the same stratigraphic time horizon that hosts the world-class Sullivan deposit located 70 km to the northeast. Over its 100-year lifetime, Sullivan produced approximately 150 million tonnes of ore including three billion ounces of silver, eight million tonnes of zinc and eight million tonnes of lead, collectively worth over $30-billion at current metal prices. The parties caution that past results or discoveries on proximate land are not necessarily indicative of the results that may be achieved on the Iron Range property.

Geophysical Survey Specifications

Fugro Airborne Surveys conducted a high-sensitivity aeromagnetic and HeliFaclon™ Airborne Gravity Gradiometer (AGG) survey over the Iron Range Property between October and December of 2011. The survey area includes 1,113 line kilometers flown at a line spacing of 200 meters. The survey was flown in an east-west direction (090° azimuth) and includes tie lines (2,000 meter separation) flown at 000 azimuth. The minimum drape height for the survey is 30 meters.

Qualified Person

Aeromagnetic and HeliFALCON™ data collection, quality control and processing were conducted by Fugro Airborne Surveys. A second and independent review of the gravity data quality was done by Condor Consulting. Ken Witherly, BSc (Geophysics), hereby designated as a qualified person under National Instrument 43-101.

Technical geological work on the Iron Range Project is under the supervision of J.K. Ryley while C.C. Downie, P.Geo., and Daniel MacNeil, GIT, are hereby identified as the overall project supervisors.

About Providence Resources

Providence Resources is a precious and base metal junior exploration company focused on creating shareholder value through acquisition and aggressive exploration in established, highly endowed mineral belts. On March 1st, 2012, Providence exercised its option with Eagle Plains and earned a 60% undivided right, title and interest in and to the Iron Range Project. Providence earned its interest by making aggregate cash payments of $500,000, issuing a total of 1,000,000 common shares and completing exploration expenditures of $3,000,000. The parties have entered into a formal joint venture agreement.

Vince Sorace, President, Providence Resources

Cautionary Note Regarding Forward-Looking Statements

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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