DNO ASA - Yemen Drilling Status

Nabrajah # 9:
Nabrajah # 9 Sidetrack has reached its total depth of 2418 meters, some 213 meters into the Basement. It has been decided to perform two production tests in the well; one in the Basement interval and one in the overlaying Kohlan formation. The objectives of the testing are to evaluate the significance of oil shows and elevated gas readings which were recorded while drilling these intervals.
Bayoot SW # 1
Bayoot SW # 1 has  reached its total depth of 3532 meters, some 613 meters into the Basement. An open hole test has been performed in the Basement interval, but the well failed to flow. Two more tests are planned in the well; one in a sandstone interval immediate overlaying the Basement and one on the Naifa carbonates. Oil shows and elevated gas reading were recorded while drilling these intervals. However, due to failure of some of the available testing equipment these two tests will be undertaken at a later stage. Timing is dependent on the schedule and priorities for rig utilization in Block 53. The rig will now move to the location of Tasour # 21, which is an appraisal well at the Tasour Field in Block 32.
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Notes to the Editors:
DNO ASA is an oil and gas Exploration and Production Company based in Oslo, Norway.
Formed in 1971, the Company has a diversified, risk balanced portfolio with interests in Norway, UK, Yemen and Iraq.
Hydrocarbon production is focussed on its operations in Yemen and Norway, with current daily production of xx,000 boepd. The Company has recently commenced production on its Nabrajah concession in Yemen, which will increase daily output in 2006.
During 2005, the Company increased its reserve base by 168%, primarily through exploration and development, with current proven and probable reserves being 105 mmboe.
The Company's exploration activities cross all of its areas of interest with 16 exploration wells completed in 2005. During 2006, the Company plan to drill 22 exploration wells, which is anticipated will materially add to the Company's reserve base.