RNS Number:5676N
Premier Oil PLC
15 July 2003



                                PREMIER OIL PLC

                                  ("Premier")



                      Statement at Annual General Meeting



Premier is an independent exploration and production company with gas and oil
interests principally in the UK, Pakistan, Indonesia and West Africa.  At
today's Annual General Meeting, Sir David John, Chairman, made the following
comments:



"2002 was a milestone year - the culmination of several years of financial and
operational performance. The restructuring will be completed shortly and will
transform Premier into a fully independent oil company for the first time in 8
years, able to pursue its strategy of value creation and early realisation
through oil and gas exploration and commercial deal-making.  Net asset value per
share for continuing shareholders will increase by 20 per cent post
restructuring and our gearing and debt levels will be reduced to low levels.



"Production post restructuring will stand at around 35,000 barrels of oil
equivalent per day on a sustainable basis and we intend to keep the Group's
finances strong.



"Looking ahead, we have an exciting drilling programme over the next twelve
months. In the UK we will be drilling on our new farm-in licence P1048 in the
Moray Firth and in Pakistan, three wells will be drilled, and another in Jaipur,
North Eastern India is planned.



"We announced in May this year, that we have entered into a multiple asset
transaction with exploration company Fusion, which builds on our West African
position.  We expect to drill three wells in Mauritania this year, as well as up
to five further wells in Guinea Bissau and Gabon in the first half of 2004.  We
see this area as having the potential to replicate the business we built in
Asia.  This is part of our strategy to build a significant business in the
region with medium risk exploration and a focus primarily on oil.



"Our goals are very clear.  We want to generate further shareholder value whilst
continuing to close the value gap between our assets and share price.  We will
achieve this by building core business areas together with exploration success.
We will also continue to manage our portfolio actively by maximising value at
optimum times in the cycle, as illustrated by our recent UK and Australian
disposals which have raised over #18 million  in cash.



"In conclusion, I believe the company has an excellent platform of assets from
which it can successfully grow in the future."



15 July 2003




ENQUIRIES:

Premier Oil plc                                      Tel: 020 7730 1111

Charles Jamieson
John van der Welle

College Hill                                         Tel: 020 7457 2020
James Henderson




                      This information is provided by RNS
            The company news service from the London Stock Exchange
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