Dana Petroleum plc (“Dana", “the Group” or the “Company”) is pleased to announce that the Company (through its subsidiary Dana Petroleum (E&P) Limited) has entered into an agreement to acquire the entire issued share capital of Petro Canada Netherlands BV (“Petro Canada Netherlands”) from Petro Canada (International) Holdings B.V, a wholly owned subsidiary of Suncor Energy Inc. (“Suncor”) for an estimated net cash consideration of approximately €328 million1 (approximately £270 million or US$393 million)2 (the "Adjusted Consideration"), (the “Acquisition”).

Petro Canada Netherlands is an upstream oil and gas exploration and production company operating in the Dutch sector of the North Sea.

The Acquisition is a Class 1 transaction for Dana under the Listing Rules and is therefore conditional on the approval of Dana shareholders. A notice convening the general meeting of Dana’s shareholders will be set out in the circular to shareholders of Dana (the "Circular"). The Circular is expected to be published in July 2010 with the general meeting taking place approximately three weeks thereafter. Assuming this condition is satisfied, Dana currently expects the Acquisition to complete in the third quarter of 2010, approximately one month following the publication of the Circular to Dana shareholders.

In connection with the Acquisition, and as part of a broader corporate refinancing initiative, the Company has agreed terms with the Royal Bank of Canada ("RBC") for the provision of aUS$900 million term loan and revolving credit facility to be fully underwritten by RBC (the "Facility").