DGO.L Regulatory News (DGO)

Dragon Oil plc

6 October 2014

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT JURISDICTION.

THIS ANNOUNCEMENT IS NOT AN ANNOUNCEMENT OF A FIRM INTENTION TO MAKE AN OFFER UNDER RULE 2.5 OF THE IRISH TAKEOVER PANEL ACT, TAKEOVER RULES 2013 ("IRISH TAKEOVER RULES") AND THERE CAN BE NO CERTAINTY THAT AN OFFER WILL BE MADE, NOR AS TO THE TERMS ON WHICH ANY OFFER WILL BE MADE.

FOR IMMEDIATE RELEASE

Possible Offer for Petroceltic International plc ("Petroceltic" or the "Company")

The Board of Dragon Oil plc ("Dragon Oil") notes the announcement by the Board of Petroceltic and confirms that it is in detailed discussions regarding a possible offer to be made by Dragon Oil for the issued, and to be issued, share capital of the Company (the "Possible Offer") at a price of 230 pence sterling per share in cash.

There can be no certainty that any offer will be made or as to the terms of any offer. A further announcement will be made as appropriate.

Enquiries:

Dragon Oil plc:

Tel: +44 (0)20 7647 7804

Anna Gavrilova

Citi:

Financial Adviser to Dragon Oil

Tel: +44 (0)20 7986 4000

Simon Lindsay

Hamza Girach

Owain Parry

Citigroup Global Markets Limited ("Citi") is authorised in the United Kingdom by the Prudential Regulation Authority and regulated in the United Kingdom by the Financial Conduct Authority and the Prudential Regulation Authority and is acting exclusively for Dragon Oil and no one else in connection with the Possible Offer and will not regard any other person (whether or not a recipient of this announcement) as a client in relation to the Possible Offer and will not be responsible to anyone other than Dragon Oil for providing the protections afforded to clients of Citi or for providing advice in relation to the Possible Offer or any other matters referred to in this announcement.

The Directors of Dragon Oil accept responsibility for the information contained in this announcement. To the best of their knowledge and belief (having taken all reasonable care to ensure that such is the case), the information contained in this announcement is in accordance with the facts and does not omit anything likely to affect the import of such information.

This announcement is not intended to, and does not, constitute or form part of any offer, invitation or the solicitation of an offer to purchase, otherwise acquire, subscribe for, sell or otherwise dispose of, any securities whether pursuant to this announcement or otherwise. The distribution of this announcement in jurisdictions outside Ireland or the United Kingdom may be restricted by law and therefore persons into whose possession this announcement comes should inform themselves about, and observe, such restrictions. Any failure to comply with the restrictions may constitute a violation of the securities law of any such jurisdiction.