DNO Abandons Nuzooh #1 in Block 32, Yemen

The Nuzooh #1 exploration well commenced drilling in July and was drilled to a total depth of 3,704 meters and subsequently plugged and abandoned after encountering minor oil shows. The well was drilled south and west of the main Tasour field targeting prospects in the Qishn, Madbi/Naifa and Basement.

The drilling rig will now be moved to Block 44 for drilling of one exploration well. The rig is thereafter scheduled to drill an exploration well at Berhout #1 in Block 32, followed by a development well at Godah #8.

The Berhout #1 well is expected to finish drilling in December or early January 2008. The well is targeting a large Qishn structure defined on 3-D seismic and is located approximately 17 kilometers east-northeast of the Godah field.