DNO International ASA - Assignments - Productio...

DNO has been advised by the Kurdistan Regional Government (KRG) that
it has completed the assignment of a 25% Third Party Interest in the
Tawke Production Sharing Contract (PSC) to Genel Enerji. This right
of appointing an additional party to the PSC is included in most of
KRG's contracts, and in the case of Tawke, the right was scheduled to
be exercised by the end of 2008.


The assignment process started in the last quarter of 2008, and it
was agreed to by the end of last year, and all remaining formalities
were recently finalized. The assignment is effective from 1st January
2009 for the purposes of paying costs.

DNO has been further advised by the KRG that it has also completed
the assignments of the Third Party Interest in the Duhok PSC, also to
Genel Enerji and the Erbil PSC to another private investor. Duhok and
Erbil are still in the exploration/appraisal phase.

Following the assignment KRG still retains its own 20 % Government
carried interest in each of the Tawke, Duhok and Erbil PSC's. With
the completion of these assignments DNO's 100% cost paying
obligations will be reduced to 75% for Tawke, and to 60% for each of
Erbil and Duhok. DNO maintains its 55 % working interest in the Tawke
PSC, and 40% in each of the Erbil and Duhok PSCs.   DNO continue to
be the Operator of the Contracts under each of the PSCs, and shall be
entitled to recover approximately USD 15 million in past costs
related to these assigned interests.

Genel Enerji, is a Turkish registered company owned by the Çukurova
Group and has been working in the Kurdistan Region since 2002. Genel
Enerji has a 44% working interest in the Taq Taq oilfield and also
holds an interest in the Kewa Chirmila exploration project. The
Çukurova  Holding Group is among Turkey's largest industrial and
commercial conglomerates with numerous investments ranging from
automotive, telecommunications, media, textiles, energy,
transportation and information technology services.

Genel Enerji has also advised DNO that it has a beneficiary ownership
of around 4.8% of the DNO International ASA shares, which were bought
in the last quarter of 2008.

DNO International ASA
6 April 2009


Contact:

Media:
Helge Eide, MD DNO International ASA   Telephone:    [phone]
Lars Erik Lund, Crux Communication     Telephone     [phone]
(Norway)
Ben Willey, Buchanan Communications    Telephone:    [phone]
(UK)

Investor Relations:
Haakon Sandborg, CFO DNO International Telephone:    [phone]
ASA


This announcement was originally distributed by Hugin. The issuer is 
solely responsible for the content of this announcement.