Interest in FOGL

Falkland Islands Holdings PLC
03 June 2005


Falkland Islands Holdings Plc

Interest in Falkland Oil and Gas Limited ('FOGL')


Falkland Islands Holdings ('FIH') is an AIM listed company operating in the
Falkland Islands where it is involved in a range of business including oil and
minerals exploration activities.

FIH announces today that it has bought a further 2,352,941 FOGL shares in the
Placing recently announced by FOGL using its existing cash reserves.  The shares
were placed at 85p and the total cost to FIH is £2 million.  FIH was one of the
founding shareholders in FOGL and will retain an 18% interest in the company
after the Placing.

The Board of FIH commented that it was encouraged by the positive results of the
recent seismic survey work and remains optimistic about FOGL's future prospects.


                                                                     3 June 2005


Enquiries:

Falkland Islands Holdings
David Hudd, Chairman                                 07771 893267 (until 1pm)

College Hill
Ben Brewerton                                        0207 457 2020




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