Interim Results for the Three Months Ended 31 M...

FOR:  FALCON OIL & GAS LTD.

TSX VENTURE SYMBOL:  FO
AIM SYMBOL:  FOG
ISE SYMBOL:  FAC

May 28, 2015

Interim Results for the Three Months Ended 31 March 2015

DUBLIN, IRELAND--(Marketwired - May 28, 2015) - Falcon Oil & Gas Ltd. (TSX VENTURE:FO)(AIM:FOG)(ESM:FAC)
("Falcon" or the "Company" or the "Group") is pleased to announce its financial results for the three months
ended 31 March 2015.

The following should be read in conjunction with the complete Interim Financial Statements and the accompanying
Management's Discussion and Analysis for the three months period ended 31 March 2015 filed with the TSXV. These
filings are available at www.sedar.com and on Falcon's website at www.falconoilandgas.com.

Operational highlights

--  Initial, three well fully funded drilling campaign in the Beetaloo
    Basin, Australia is on track to commence mid 2015.
--  Tendering and contracting for the rig and key well services, and
    recruiting additional project resources are ongoing.
--  Drilling locations identified following technical evaluation undertaken
    by Origin, Sasol and Falcon.
--  Well locations designed to penetrate oil mature through to dry gas
    mature sections of the Middle Velkerri shale.
--  Company's exploration license application in South Africa's Karoo Basin
    is currently being processed.
--  South African Department of Mineral Resources ("DMR") expected to issue
    licences in 2015.

Financial highlights

--  Strong financial position, debt free with cash and cash deposits of
    US$11.5 million.
--  Continued focus on strict cost management and efficient operation of the
    portfolio.
--  G&A expenses decreased 40% quarter on quarter to US$0.6 million (Q1
    2014: US$1 million).

Philip O'Quigley, CEO of Falcon Oil & Gas commented:

"Despite the challenging market conditions, Falcon is well placed with a strong financial position and a number
of value enhancing events ahead. Our initial three well, fully funded exploration drilling campaign in the
Beetaloo basin, Australia is on track to commence shortly and we are working closely with our partners Origin
and Sasol to complete preparations ahead of drilling this highly attractive basin."

"The South African Department of Mineral Resources continues to show encouraging signs in regards to shale gas
exploration in the Karoo and is expected to begin issuing licences this year. We were delighted to receive
formal notification that a decision has been taken to proceed with the processing of Falcon's application for a
shale gas exploration licence in the Karoo basin."

"We look forward to updating shareholders in the near future on our exciting fully funded 2015 Australian
drilling campaign."

Australia - Initial three well fully funded drilling campaign on track to commence mid 2015.

Preparations for the Group's 2015 Australian three well drilling programme in the Beetaloo Basin, Northern
Territory with our partners Origin and Sasol are at an advanced stage with drilling expected to commence mid
2015.

During 2014 significant progress was made with a comprehensive technical evaluation undertaken to identify a
selection of appropriate well locations to penetrate oil mature through to dry gas mature sections of the
Middle Velkerri shale. The principal objectives of the 2015 drilling programme are to:

--  penetrate the Middle Velkerri formation to assess hydrocarbon saturation
    and reservoir quality;
--  evaluate oil versus gas maturity and determine the most prospective
    areas and depth window;
--  provide wide geographical cover of the target Middle Velkerri formation;
    and
--  collect data points for subsequent vertical/horizontal drilling,
    completion and production testing.

Formation evaluation and reservoir characterisation will be carried out from these initial three wells through
petrophysical interpretation, core analysis, geomechanical studies and stimulation design.

Tendering and contracting for the rig and key well services, and recruiting additional project resources are
ongoing.

South Africa - exploration licence being processed by the Petroleum Agency of South Africa ("PASA")

The PASA is proceeding with the processing of the Company's application for a shale gas Exploration Licence in
South Africa's Karoo Basin and the Company expects that the South African DMR will issue Falcon with a licence
to explore for shale gas in 2015.

The Company has updated its Environmental Management Programme where necessary in accordance with the South
African Mineral and Petroleum Resources Development Act 2002.

As a reminder to shareholders, the Company was granted a Technical Cooperation Permit in 2009 covering 7.5
million (30,327 km2) acres in the southern part of the Karoo Basin and the Company has a cooperation agreement
(as announced on 12 December 2012) with Chevron Business Development South Africa Limited. ("Chevron"), which
enables the Group to work exclusively with Chevron for a period of five years in jointly obtaining exploration
licences.

Hungary - review of operations and future plans

Further to the Group's press release of 26 January 2015, which detailed the expiry of the extension of the
Naftna Industrija Srbije jsc ("NIS") three well drilling contract at 31 December 2014, Falcon continues to
evaluate all options available to the Group to derive shareholder value as NIS has not fulfilled its
commitments under the Agreement. In addition, the Group continues to review its operation and future plans in
Hungary. The Group maintains its 100% interest in the Mako Trough.

Financial review

Falcon incurred a loss of US$0.2 million during the three months ended 31 March 2015, decreasing from a loss of
US$0.3 million during the three months ended 31 March 2014. The decrease reflects the continued focus of strict
cost management and efficient operation of the portfolio.

During the period, the Group placed US$2.0 million on deposit for the benefit of the Hungarian mining authority
as a security deposit with regards the Group's decommissioning obligations. Falcon's cash and cash deposits
balance at 31 March 2015 was US$11.5 million (31 December 2014: US$14.8 million).

Falcon Oil & Gas Ltd.
Interim Condensed Consolidated Statement of Operations and Comprehensive
 Loss
(Unaudited)

                                              Three months     Three months
                                                     ended            ended
                                             31 March 2015    31 March 2014
                                                     $'000            $'000
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Revenue
Oil and natural gas revenue                              3               10
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                                                         3               10

Expenses
Exploration and evaluation expenses                   (376)            (198)
Production and operating expenses                       (6)              (7)
Depreciation                                            (8)             (43)
General and administrative expenses                   (616)          (1,019)
Share based compensation                              (162)            (195)
Foreign exchange gain / (loss)                         921              (33)
Other income                                             -              137
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                                                      (247)          (1,358)
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Results from operating activities                     (244)          (1,348)

Fair value gain - outstanding warrants                 128              991

Finance income                                           4               59
Finance expense                                       (125)             (35)
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Net finance (expense) \ income                        (121)              24

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Loss and comprehensive loss for the period            (237)            (333)
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Loss and comprehensive loss attributable
 to:

Equity holders of the company                         (235)            (329)
Non-controlling interests                               (2)              (4)

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Loss and comprehensive loss for the period            (237)            (333)
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Loss per share attributable to equity
 holders of the company:

Basic and diluted                                $  (0.000)       $  (0.000)
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Falcon Oil & Gas Ltd.
Interim Condensed Consolidated Statement of Financial Position
(Unaudited)

----------------------------------------------------------------------------
                                                At 31 March  At 31 December
                                                       2015            2014
                                                      $'000           $'000
----------------------------------------------------------------------------
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Assets
Non-current assets
Exploration and evaluation assets                    39,616          39,619
Property, plant and equipment                            95             103
Trade and other receivables                             100             104
Restricted cash                                       2,210             331
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                                                     42,021          40,157
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Current assets
Cash and cash on deposit                             11,465          14,753
Trade and other receivables                             504             443
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                                                     11,969          15,196
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Total assets                                         53,990          55,353
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----------------------------------------------------------------------------

Equity and liabilities

Equity attributable to owners of the parent
Share capital                                       382,853         382,853
Contributed surplus                                  42,822          42,660
Retained deficit                                   (382,584)       (382,349)
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                                                     43,091          43,164
Non-controlling interests                               711             713
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Total equity                                         43,802          43,877
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Liabilities
Non-current liabilities
Decommissioning provision                             8,356           9,493
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                                                      8,356           9,493
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Current liabilities
Accounts payable and accrued expenses                 1,446           1,469
Derivative financial liabilities                        386             514
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                                                      1,832           1,983
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Total liabilities                                    10,188          11,476
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Total equity and liabilities                         53,990          55,353
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Falcon Oil & Gas Ltd.
Interim Condensed Consolidated Statement of Cash flows
(Unaudited)

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                                                Three months ended 31 March
                                                       2015            2014
                                                      $'000           $'000
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Cash flows from operating activities
Net loss for the period                                (237)           (333)
Adjustments for:
  Share based compensation                              162             195
  Depreciation                                            8              43
  Fair value gain - outstanding warrants               (128)           (991)
  Net finance expense / (income)                        121             (24)
  Effect of exchange rates on operating
   activities                                          (921)             33
Change in non-cash working capital:
  Trade and other receivables                           (57)           (269)
  Accounts payable and accrued expenses                 244             108
  Restructuring spend                                  (219)              -
Interest received                                         4              17
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Net cash used in operating activities                (1,023)         (1,221)

Cash flows from investing activities
Increase in restricted cash                          (1,991)              -
Exploration and evaluation assets                         -            (373)
Property, plant and equipment                             -              (8)
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Net cash used in investing activities                (1,991)           (381)

Change in cash and cash equivalents                  (3,014)         (1,602)
Effect of exchange rates on cash & cash
 equivalents                                           (274)             50

Cash and cash equivalents at beginning of
 period                                               8,753           8,431

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Cash and cash equivalents at end of period            5,465           6,879
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----------------------------------------------------------------------------

This announcement has been reviewed by Dr. Gabor Bada, Falcon Oil & Gas Ltd's Head of Technical Operations. Dr.
Bada obtained his geology degree at the Eotvos L. University in Budapest, Hungary and his PhD at the Vrije
Aniversiteit Amsterdam, the Netherlands. He is a member of AAPG and EAGE.

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

About Falcon Oil & Gas Ltd.

Falcon Oil & Gas Ltd is an international oil & gas company engaged in the acquisition, exploration and
development of conventional and 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.
Such information may include, but is not limited to, comments made with respect to the type, number and
objectives of the wells to be drilled in the Beetaloo basin Australia, the prospectivity of the Middle Velkerri
shale play and the prospect of the exploration programme being brought to commerciality and comments made with
respect to the granting of an exploration right in South Africa. Actual results might differ materially from
results suggested in any forward-looking statements. The Company 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 the Company. Additional
information identifying risks and uncertainties is contained in the Company's filings with the Canadian
securities regulators, which filings are available at www.sedar.com.

-30-

FOR FURTHER INFORMATION PLEASE CONTACT:

Falcon Oil & Gas Ltd.
[phone]

OR

Falcon Oil & Gas Ltd.
Philip O'Quigley
CEO
[phone]

OR

Falcon Oil & Gas Ltd.
Michael Gallagher
CFO
[phone]

OR

Falcon Oil & Gas Ltd.
John Craven
Non-Executive Chairman
[phone]

OR

Davy (NOMAD & Joint Broker)
John Frain / Anthony Farrell
[phone]

OR

GMP Securities Europe LLP (Joint Broker)
Rob Collins / Emily Morris
[phone]

OR

CAMARCO
Billy Clegg
[phone]

OR

CAMARCO
Georgia Mann
[phone]

-0-

Falcon Oil & Gas Ltd.