DNO ASA - Earnings Release 2017 | FinancialReports.eu

DNO Reports First Quarter Net Profit, Expands Drilling in Kurdistan

Oslo, 4 May 2017 - DNO ASA, the Norwegian oil and gas operator, today announced

expanded investments, including doubling of planned 2017 wells at the Tawke

field in the Kurdistan region of Iraq, on the back of strong first quarter

results. The Company reported quarterly net profit of USD 15 million, reversing

a net loss of USD 31 million in the previous quarter. Revenues were up 83

percent to USD 77 million on operated production averaging 115,900 barrels of

oil equivalent per day.

The expanded 2017 Tawke program includes eight new production wells, of which

six are Cretaceous and two shallow Jeribe wells. A third drilling rig has been

mobilized following receipt of regular payments for oil exports through Turkey.

Year to date, the Company has been paid USD 122 million net, including USD 23

million towards DNO's booked receivables for previous deliveries.

Elsewhere on the Tawke license, the Company produced an average of 3,000 barrels

of oil per day from the Jurassic horizon of the recently drilled Peshkabir-2

well during a two-week test period in April. These volumes were trucked to DNO's

facilities at Fish Khabur and exported. Extended testing of the shallower

Cretacous discovery in the Peshkabir-2 well has commenced. The Peshkabir-3

appraisal/production well will spud this summer.

The Company is preparing an accelerated development plan utilizing an early

production facility to bring the Peshkabir field onstream by the end of this

year.

In a separate release, the Company today announced a fast-track reentry into

Norway with the acquisition of privately-held Origo Exploration Holding AS.

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 North

Africa. 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, Oman, Somaliland,

Tunisia and Yemen.

This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

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