DNO ASA - Capital/Financing Update 2019

DNO Completes USD 400 Million Bond Placement

16 May 2019 - DNO ASA, the Norwegian oil and gas operator, has completed the

private placement of USD 400 million of new, five-year senior unsecured bonds

with a coupon rate of 8.375 percent. The bond placement received strong investor

demand across international markets and was oversubscribed.

The bond issue is expected to be settled on or about 29 May 2019, subject to

customary conditions precedent. An application will be made for the bonds to be

listed on the Oslo Stock Exchange. In connection with the bond placement, the

Company has agreed to buy back USD 60 million in nominal value of DNO01 bonds

(ISIN NO 0010740392) at 104.16 percent of par plus accrued interest and USD 10

million in nominal value of FAPE01 bonds originally issued by Faroe Petroleum

plc in 2017 (ISIN NO 0010811268) at 107.50 percent of par plus accrued interest.

In addition to partial refinancing of the DNO01 and FAPE01 bonds, net proceeds

from the new bond issue will be used for general corporate purposes.

Danske Bank and Pareto Securities AS acted as joint lead managers and

bookrunners with SpareBank 1 Markets AS as co-manager and bookrunner.

For further information, please contact:

Tel: +47 911 57 197

DNO ASA is a Norwegian oil and gas operator focused on the Middle East and the

North Sea. Founded in 1971 and listed on the Oslo Stock Exchange, the Company

holds stakes in onshore and offshore licenses at various stages of exploration,

development and production in the Kurdistan region of Iraq, Norway, United

Kingdom, Netherlands, Ireland and Yemen.

This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

This release does not constitute any offer or solicitation to sell or purchase

any securities.

The release may not be released, published or distributed in the United States

or any other jurisdiction where release, publication or distribution would be

prohibited or require any registration or filing acts or similar.

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