DNO ASA - Nabrajah # 11

Nabrajah-11 has been drilled as an appraisal well on the South-Western corner of the Nabrajah structure.
The well has been drilled to a total depth of 2924 m, 480 m into the Basement
 
Good oil and gas shows were observed in the Naifa carbonates and basement.   
A conventional DST was run in the Basement, yielding oil influx of 66bopd. DNO is evaluating methods for stimulating the basement.
 
Subsequently, the Naifa carbonates have been perforated. Oil and gas influx was observed while pulling out of the well with the perforating guns.
 
The Naifa carbonate is now being acid stimulated and the plan is to perform a commingled test of the Basement and Naifa, using a jet pump to lift the fluids until natural flow has been established. 
 
Results of this test are due towards the end of this week.
 
 
 
Contacts:
 
 
 
 
Website : www.dno.no
 
 
Notes to the Editors:
 
 
DNO ASA is an independent oil and gas exploration and production company based in Oslo, Norway.
 
The company has a diversified, risk balanced portfolio with interests in Norway, UK, Yemen, Northern Iraq and Africa.
 
Hydrocarbon production is currently focused on its operations in Yemen and Norway, with current daily production of ca. 17,000 BOPD. The Company commenced production on its Nabrajah concession in Yemen in July 2005, which is expected to increase the daily output in 2006.
 
Following an additional oil discovery early in 2006 in Norway, DNO currently holds proven and probable reserves of more than 100 million barrels. This has also resulted in an increase in the proven plus probable reserve base by more than 250 % since December 2004. The increase in reserves comes from a combination of successful exploration drilling and acquisitions.
  
In 2006 the Company will increase its exploration activities across all of its core areas of interests which will increase DNO's exploration budget to approximately USD 100 million. Throughout the year DNO plans to participate in 22 exploration wells, of which 15 as Operator.