RNS Number:4658O
Dragon Oil PLC
08 August 2003


08 August 2003

                                 DRAGON OIL PLC
                   Dragon Oil Plc ("Dragon" or the "Company")


Dragon announces that it has today repaid to the European Bank for
Reconstruction and Development ("EBRD") the sum of US$4 million in accordance
with the terms of the EBRD loan facility. The sum comprises US$3.1million of the
principal borrowed, and US$0.9million interest. Following this repayment, the
outstanding balance on the EBRD facility is US$ 35.2 million.

Chairman Hussain M. Sultan said:

"This repayment to EBRD covering both principal and interest follows the 
bi annual borrowing base review. This is made in accordance with the terms 
of the EBRD loan facility from internally generated cash resources.  The 
Board is continuing to look at appropriate financing opportunities to take 
the Company forward into a long term field development programme."


Enquiries:

Citigate Dewe Rogerson (+44 020 7638 9571)
Martin Jackson



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