DNO ASA - 4 Quarter Production and Yemen Drilling Update

OIL PRODUCTION
 
The oil production for Norway and Yemen in December, 4th  Quarter and 2004 was as follows (BOPD):
 
 
                                December          4th Quarter                  2004
 
Norway                       2.044                     1.336                       1.670
Yemen                     13.479                    14.083                     12.309
 
Total                       15.523                     15.419                     13.979
 
 
Due to reallocation of the production from Yemen the actual production in October and November is higher than previously reported. The corrected actual figures are (BOPD):
 
      
                          October                    November 
 
 
Norway                   26                               1.937
Yemen             14.157                             14.613
 
Total               14.183                            16.550
 
 
DNO is very pleased with achieving an average production for 2004 of ca. 14.000 BOPD. The main reason for reaching a production level well above the target for the year is the excellent performance of the Yemeni producing assets following the implementation of a succesful drilling programme.
 
 
YEMEN DRILLING UPDATE
 
Drilling of Nabrajah # 4 has reached a total depth of 1.742 meters. Due to various hole problems during drilling of Nabarajah # 4,  a side-track from the original planned well track had to be drilled. Initial interpretation of well logs confirms the precence of oil in the Qishn S1 and S2 intervals. No testing will be undertaken of the well which will be suspended and prepared as a future Nabrajah producer. The rig will now move to drill Nabrajah # 5  which has a top Qishn S2 target some 1.100 meters south of Nabrajah # 4.
 
The Nabrajah Field Development Plan has been submitted to the Yemeni authorities for appoval.
 
The Sharyoof North-East # 1 was drilled on a structure separat to the main Sharyoof field. The well did not encounter hydrocarbons. The rig has now moved back to Block 32 to drill the Tasour # 15 well, which is located east of the main Tasour Field.
 
 

DNO ASA
13 January 2005

For further information, please contact:

Helge Eide
Managing Director.

Telephone: (+47) 55 22 47 00 / (+47) 23 23 84 80

www.dno.no