Transaction in Own Shares

Dragon Oil plc ("Dragon Oil")

Transaction in Own Shares

Dragon Oil announces that on 7 August 2012 it purchased for cancellation 548,893 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 605.50 GB pence and the lowest price paid was 599.50 GB pence. Following the above purchase, Dragon Oil will have 496,358,991 ordinary shares in issue.

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