Exploration drilling update - Spaniards East

PREMIER OIL plc

("Premier" or "the Company")

Exploration drilling update - Spaniards East

6 November 2012

The Spaniards East well in UK block 15/21 (Premier equity 28%) has reached a total depth of 10,694 feet and is being plugged and abandoned as a dry hole. The well encountered 75 feet of Jurassic sands but these were shown to be water wet on the logs.

Upon completion of the activities on Spaniards East, the WilPhoenix rig will move to drill the Cyclone prospect in UK block 28/7 (Premier equity 70%). The results of this well are expected before year end.

Enquiries

Premier Oil plc 0207 730 1111

Simon Lockett

Andrew Lodge

Pelham Bell Pottinger PR 0207 8613232

Gavin Davis

Henry Lerwill