Transaction in Own Shares

Dragon Oil plc ("Dragon Oil")

Transaction in Own Shares

Dragon Oil announces that on 18 July 2012 it purchased for cancellation 123,417 of its ordinary shares pursuant to the irrevocable arrangement (without Company discretion) that it entered into with Nomura International plc and J&E Davy. The highest price paid was 577 GB pence and the lowest price paid was 561 GB pence. Following the above purchase, Dragon Oil will have 500,726,050 ordinary shares in issue.

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