AGM Operational Update

24 June 2013

Falkland Oil and Gas Limited

("FOGL")

AGM Operational Update

FOGL, the oil and gas exploration company focused on its extensive licence areas to the South and East of the Falkland Islands provides an operational update covering the period from 1 January to 24 June 2013 ahead of its Annual General Meeting, taking place at 2:00 pm (BST) today at FTI Consulting, Holborn Gate, 26 Southampton Buildings, London, WC2A 1PB.

Highlights

·; In 2013, we have continued our focus on de-risking our assets and the identification of drilling locations through extensive 3D seismic surveys

·; Acquired more than 6,000 sq km of 3D seismic data over the Cretaceous-aged Diomedea fan complex, with more extensive coverage than originally planned due to favourable weather conditions

·; Acquired c.1,000 sq km of 3D seismic data over the Cretaceous Fault Block area, targeting a number of prospects and leads within the licences lying immediately to the west of the Darwin gas-condensate discovery

·; Both surveys were operated by Noble Energy on behalf of the Joint Venture, which includes Edison International Spa and FOGL, and were completed on time and within budget

·; The initial fast track data will be available for interpretation in 3Q 2013 and will be used to commence prospect mapping and the selection of well locations.

·; A further 3D survey in the Northern Licence Area is planned for 4Q 2013

Tim Bushell, Chief Executive, commented:

"We have an ambitious and fully funded work programme and the first six months of this year have been hugely productive, with the successful acquisition of two very important 3D seismic surveys.

This investment will allow us to take our sub-surface understanding to the next level, and will provide well locations for the forthcoming drilling campaign. The 3D seismic will reduce exploration risk, help us focus on the oil potential within our licences and maximise the chances of delivering value through the drill-bit."

- Ends -

Enquiries:

Falkland Oil and Gas

Tel+44 (0) 207 563 1260

Tim Bushell, Chief Executive

RBC Capital Markets (Nominated Adviser and Joint Broker)

Matthew Coakes / Jeremy Low / Daniel Conti Tel: +44 (0)207 653 4000

Jefferies Hoare Govett (Joint Broker)

Alex Grant / Chris Zeal / Graham Hertrich Tel: +44 (0)207 029 8000

FTI Consulting

Natalia Erikssen Tel: +44 (0)207 831 3113