DNO today reports status on its activities in K...

Summail-1 exploration well update

The Summail-1 exploration well was spudded on 19 April 2011. The well has now
been drilled ca. 25 meters into the Cretaceous interval and hydrocarbon shows
were detected while drilling. An open hole test (DST) was undertaken of this top
interval, and the well flowed 4 million standard cubic feet of gas per day
(scf/d) through a restricted choke size (24/64 inches).

The drilling will now continue through the total Cretaceous section, which has
an estimated total thickness of 800 meters, and testing will be undertaken as
required. Thereafter the plan is to set casing and drill into the Jurassic and
Triassic intervals.

Bastora-1A test production

The Bastora-1A well is a horizontal side-track drilled from the original
Bastora-1 discovery well. A horizontal section of 660 m in length was drilled
through one of the oil filled carbonate zones with the objectives of penetrating
multiple fracture systems to enhance productivity and furthermore enable the
well to be used in an early production concept. Testing of the well commenced by
using artificial lift through installation of a down hole jet pump, and as
previously reported, preliminary results indicated initial test rates of 2,000
to 2,300 bopd of crude oil of 18-19 API. The flow from the well has now
stabilized at around 1,700 - 1,800 bopd and the crude oil produced is trucked to
the DNO operated facilities at Tawke for export.

The forward plan is to continue flowing the Bastora-1A well in order to acquire
more production and reservoir information, which will serve as an important
input to the development plan to be prepared for the Bastora and Benenan oil
discoveries. DNO as Operator will issue a declaration of Commercial Discovery
for these two discoveries to the KRG by 25 June 2011.

Confirmation of export payment

As previously reported payment to DNO in the amount of USD 103.7 million for
February and March crude oil exports had been approved for payment by the KRG,
and the Company can confirm that this amount has now been deposited in the
Company's account.

This first payment for crude oil export marks another important milestone to DNO
in relations to its operations in Kurdistan Region of Iraq. This combined with
the recent positive and encouraging results from the ongoing operations, form a
solid basis for increased activities and investments within the Company's
portfolio in the Region.

Oslo, 6 June 2011

DNO International ASA
Corporate Communications

This information is subject of the disclosure requirements acc. to §5-12 vphl
(Norwegian Securities Trading Act)







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Source: DNO International ASA via Thomson Reuters ONE

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