Press Release

28 September 2007

DANA PETROLEUM PLC
("DANA", "THE COMPANY", OR "THE GROUP")

DANA MAKES OIL DISCOVERY WITH FIRST WELL IN NORWAY

Dana Petroleum is pleased to note the announcement made by its partner and license operator Pertra ASA today regarding an oil discovery at Storskrymtem, Norway, the full text of which is below.

For further information please contact:

Tom Cross, Chief Executive	Dana Petroleum plc	01224 652400
Stuart Paton, Technical & Commercial Director	Dana Petroleum plc	01224 652400
Nick Elwes	College Hill Associates	020 7457 2020

PERTRA DISCOVERED OIL IN STORSKRYMTEN

The Norwegian Petroleum Directorate has announced that Pertra ASA, Operator of Production License 337, has discovered oil in Paleocene sands in wildcat well 15/12-18S. The discovery is located 16 km north-west of the Varg Field.

One purpose of the well was to prove hydrocarbons in Paleocene sandstones in a prospect named "Storskrymten". The well proved oil in parts of 36 meter thick sandstones of the TY Formation at a depth of 2,550 meters. The reservoir section will be sampled and evaluated before a decision to drill a side-track is made.

After having collected the necessary samples, the Operator will continue to drill in order to test the potential of another prospect at 3,300 meters, called "Grytkollen".

"Making a discovery in our first exploration well is a good credit to our exploration staff and very exciting," states CEO Erik Haugane. "We will now investigate if the volumes are sufficient for a commercial development. The discovery is very promising for the other Paleocene prospects mapped in this area, including the Pertra-operated PL 408 just north of this discovery."

This is the first exploration well in Production License 337.  The license was awarded in APA 2004. The well is being drilled by the jack-up drilling rig "Mærsk Giant".

The licensees in Production License 337 are:

Pertra (Operator) 45%
Dana Petroleum 25%
Revus Energy 20%
Bridge Energy 10%