Falcon Oil & Gas Ltd - Filing of Interim Financ...

FALCON OIL & GAS LTD.

(“Falcon”)

Filing of Interim Financial Statements

27 May 2021 - Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) announces that it has filed its Interim Financial Statements for the three months ended 31 March 2021 and the accompanying Management’s Discussion and Analysis (“MD&A”).

The following should be read in conjunction with the complete unaudited unreviewed Interim Financial Statements and the accompanying MD&A for the three months ended 31 March 2021, which are available on the Canadian System for Electronic Document Analysis and Retrieval (“SEDAR”) at www.sedar.com and on Falcon’s website at www.falconoilandgas.com.

Q1 2021Financial Highlights

• Strong financial position, debt free with cash of US$10.5 million at 31 March 2021 (31 December 2020: US$11 million).
• Continued focus on strict cost management and efficient operation of the portfolio.

CONTACT DETAILS:

Falcon Oil & Gas Ltd.	[phone]
Philip O'Quigley, CEO	[phone]
Anne Flynn, CFO	[phone]
Cenkos Securities plc ( NOMAD & Broker)
Neil McDonald / Derrick Lee	[phone]

All dollar amounts in this document are in United States dollars “$”, except as otherwise indicated.

Interim Condensed Consolidated Statement of Operations and Comprehensive Loss
(Unaudited)

			Three months ended   31 March 2021 $’000	Three months ended   31 March 2020 $’000
Revenue
Oil and natural gas revenue			2	1
			2	1
Expenses
Exploration and evaluation expenses			(40)	(38)
Production and operating expenses			-	(2)
General and administrative expenses			(466)	(403)
Share based compensation			( 565 )	-
Foreign exchange loss			(155)	(28)
			(1, 22 6)	(471)
Results from operating activities			(1, 22 4)	(470)
Fair value gain – warrant			-	110
Finance income			1	14
Finance expense			(67)	(1,094)
Net finance expense			(66)	(1,080)
Loss and comprehensive loss for the period			(1, 29 0)	(1,440)
Loss and comprehensive loss attributable to:
Equity holders of the company			(1, 28 9)	(1,421)
Non-controlling interests			(1)	(19)
Loss and comprehensive loss for the period			(1, 29 0)	(1,440)
Loss per share attributable to equity holders of the company:
Basic and diluted			( $0.001 cent)	($0.001 cent)

Interim Condensed Consolidated Statement of Financial Position
(Unaudited)

		At 3 1 March 20 2 1 $’000	At 31 December 2020 $’000
Assets
Non-current assets
Exploration and evaluation assets		40,186	40,444
Property, plant and equipment		3	4
Trade and other receivables		23	23
Restricted cash		2,325	2,429
		42,537	42,900
Current assets
Cash and cash equivalents		10,482	11,036
Trade and other receivables		160	117
		10,642	11,153
Total assets		53,179	54,053
Equity and liabilities
Equity   attributable to owners of the parent
Share capital		392,170	392,170
Contributed surplus		45, 64 0	45,075
Deficit		(396, 46 2)	(395,173)
		41,348	42,072
Non- controlling interests		700	701
Total equity		42,048	42,773
Liabilities
Non- current liabilities
Decommissioning provision		10,594	10,563
		10,594	10,563
Current liabilities
Accounts payable and accrued expenses		537	717
		537	717
Total liabilities		11,131	11,280
Total equity and liabilities		53,179	54,053

Interim Condensed Consolidated Statement of Cash Flows

(Unaudited)

		Three months ended 31 March
		20 2 1 $’000	2020 $’000
Cash flows from operating activities
Net loss for the year		(1, 290 )	(1,440)
Adjustments for:
Share based compensation		56 5	-
Depreciation		1	-
Fair value gain - warrant		-	(110)
Net finance expense		66	1,080
Effect of exchange rates on operating activities		155	28
Transfer of Canadian working interests		(28)	-
Change in non-cash working capital:
(Increase) / decrease in trade and other receivables		(43)	13
Increase / (decrease) in accounts payable and accrued expenses		24	(42)
Net cash used in operating activities		(550)	(471)
Cash flows from investing activities
Interest received		1	14
Exploration and evaluation assets		-	(36)
Net cash generated by / (used in) investing activities		1	(22)
Change in cash and cash equivalents		(549)	(493)
Effect of exchange rates on cash and cash equivalents		(5)	(1,033)
Cash and cash equivalents at beginning of year		11,036	13,066
Cash and cash equivalents at end of period		10,482	11,540

About Falcon Oil & Gas Ltd.

Falcon Oil & Gas Ltd is an international oil & gas company engaged in the exploration and development of unconventional oil and gas assets, with the current portfolio focused in Australia, South Africa and Hungary. Falcon Oil & Gas Ltd is incorporated in British Columbia, Canada and headquartered in Dublin, Ireland with a technical team based in Budapest, Hungary.

For further information on Falcon Oil & Gas Ltd. please visit www.falconoilandgas.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Certain information in this press release may constitute forward-looking information. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results might differ materially from results suggested in any forward-looking statements. Falcon assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward looking-statements unless and until required by securities laws applicable to Falcon. Additional information identifying risks and uncertainties is contained in Falcon’s filings with the Canadian securities regulators, which filings are available at www.sedar.com.