DNO ASA — Earnings Release 2013

Feb 20, 2014

DNO International Reports 2013 Results

DNO International Reports 2013 Results

Oslo, 20 February 2014 -- DNO International ASA, the Norwegian oil and gas

company, today released its 2013 financial and operating results, highlights of

which included record levels of operating revenue of NOK 2.97 billion and

operating cash flow of NOK 1.73 billion. Operating profit stood at NOK 580

million following one-off charges for goodwill and other impairments. Absent

these charges, operating profit would have totaled a record NOK 1.48 billion.

The Company reported higher exploration and development expenditures of NOK

1.75 billion (NOK 1.26 billion in 2012) funded by operating cash flow. Free cash

balance at yearend 2013 rose to NOK 1.62 billion from NOK 1.51 billion at

yearend 2012.

Oil and gas production during the year rose to 39,170 barrels of oil equivalent

per day (boepd) on a Company Working Interest (CWI) basis, up from 38,354 boepd

in 2012. Wellhead production capacity at DNO's flagship Tawke field in the

Kurdistan region of Iraq continued to climb to 155,000 barrels a day by yearend

and is slated to reach 270,000 barrels a day at yearend 2014 with completion of

new horizontal wells.  The Company is planning to utilize early production

packages to double surface facilities capacity to 200,000 barrels a day at

yearend 2014 and to install a new 24 inch pipeline to supplement the existing

12 inch pipeline, significantly increasing transportation capacity.

"2013 was a banner year for the Company marked by several milestones including

great success from horizontal drilling at the Tawke field in Kurdistan," said

Bijan Mossavar-Rahmani, DNO's Executive Chairman. "We have an aggressive work

program planned for 2014 to drive up production and delivery capacity in

existing fields while testing exploration prospects across the portfolio," he

added.

DNO International presents its financial and operating results today in Oslo at

10:00 CET. A live webcast of the presentation as well as the full Fourth Quarter

and Full Year 2013 Interim Report will be available on the Company website

(www.dno.no).

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DNO International ASA is an Oslo-listed, Middle East and North Africa focused

oil and gas company holding stakes in 20 blocks in various stages of

exploration, development and production both onshore and offshore in the

Kurdistan Region of Iraq, the Republic of Yemen, the Sultanate of Oman, the

United Arab Emirates, the Tunisian Republic and Somaliland. http://www.dno.no

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Oslo, 20 February 2014

DNO International ASA

Corporate Communications

Queries: Bjørn Dale (bjorn.dale@dno.no or +47 909 79 889)

This information is subject of the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

[HUG#1763263]