PCI.L Regulatory News (PCI)

1 December 2014

Statement under Rule 2.8 of the Irish Takeover Rules - Petroceltic International PLC

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.

FOR IMMEDIATE RELEASE

No intention to make an offer statement under Rule 2.8 of the Irish Takeover Rules in respect of Petroceltic International plc ("Petroceltic")

The Board of Dragon Oil plc ("Dragon Oil") announced on 6 October 2014 that it had noted the announcement by the Board of Petroceltic to the effect that it was in detailed discussions with Dragon Oil with respect to a possible offer for Petroceltic and confirmed that it was in detailed discussions regarding such a possible offer to be made for the issued, and to be issued, share capital of Petroceltic at a price of 230 pence sterling per share in cash.

Dragon Oil now confirms that, in the light of prevailing market conditions, it no longer intends to make an offer for Petroceltic and accordingly, as a result of this announcement, is bound by the restrictions set out in Rule 2.8 of the Irish Takeover Rules. Dragon Oil reserves the right to set aside this statement within 12 months after the date of this announcement in the circumstances set out in Rule 2.8(c)(ii) of the Irish Takeover Rules, including paragraph (4) of Rule 2.8(c)(ii).

Enquiries:

Dragon Oil plc:

Tel: +44 (0)20 7647 7804

Anna Gavrilova

Citigate Dewe & Rogerson:

Tel: +44 (0)20 7638 9571

Martin Jackson

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.