UK Exploration Drilling Update

PREMIER OIL plc

("Premier" or "the Company")

UK Exploration Drilling Update

3 May 2012

Premier announces that the Stingray Exploration well (15/13b-11) drilled on Licence P1212 (Block 15/13b) has reached a total depth of 2,129 metres and is being plugged and abandoned as a dry hole (Premier 50 per cent).

The next exploration well to be drilled by Premier in the UK North Sea is the Carnaby well on the Catcher acreage (UK Block 28/9) which Premier expects to spud towards the end of next week. The Sedco 711 rig will then drill the Premier-operated Coaster prospect on the adjacent block to Carnaby (UK Block 28/10a).

Enquiries

Premier Oil plc 020 7730 1111

Simon Lockett

Andrew Lodge

Pelham Bell Pottinger 020 7861 3232

Gavin Davis

Henry Lerwill