Placing and Fyne Field Update

ENEGI OIL PLC

AIM ticker: 'ENEG'

OTC ticker: 'EOLPF'

25 February 2014

Enegi Oil Plc

("Enegi" or "the Company")

Placing and Fyne Field Update

Enegi, the independent Oil and Gas Company with a portfolio of assets located in the UK North Sea, Newfoundland Canada, Ireland, and Jordan, is pleased to announce that it has raised £2.005 million (after expenses) through a placing of 24,845,105 new ordinary shares of 1 pence each ("Ordinary Shares") with new investors at an average price of 8.07 pence per Ordinary Share. Expenses for the placing have been taken in shares and total 2,484,511 shares ("Commission Shares").

YA Global Master SPV Ltd ("YA") has subscribed for 24,845,105 Ordinary Shares, raising £2.005 million after costs. Of the £2.005million, Enegi has entered into an Equity Swap with YA in respect of £500,000. The period of the Equity Swap is 12 months. The Equity Swap element allows the Company to secure the potential upside arising from anticipated near term news flow.

The Equity Swap Agreement provides for payment to the Company of £41,666.66 via 12 monthly instalments as measured against a benchmark price of 8.88p per share ("the Benchmark Price"). If the measured share price exceeds the Benchmark Price, for that month, the Company will receive more than 100 per cent of the monthly settlement due on a pro rata basis. There is no upper limit placed on the additional proceeds receivable by the Company as part of the monthly settlements. Should the measured share price be below the Benchmark Price, the Company will receive less than 100 per cent of the expected monthly settlement on a pro rata basis.

Under no circumstances can YA require Enegi to issue any additional shares pursuant to the Equity Swap, and YA and its affiliates are prohibited from holding any net short position in Enegi shares.

The net proceeds of the Placing are expected to primarily be used to:

· Facilitate the Company's ongoing work commitments under the Fyne Oil Field Farm-In as announced by the Company on 2 July 2013

· Facilitate the initial work commitments under the Dunmore and Helvick Field Farm-In Agreements as announced by the Company on 13 November 2013

· Fund the application by the Company for new licenses under the 28th new round of offshore petroleum licensing by the Department of Energy and Climate Change.

Application has been made to the London Stock Exchange for the Placing Shares, which will rank pari passu with the existing Ordinary Shares in issue, to be admitted to trading on AIM ("Admission"). It is expected that such Admission will occur at 8.00 a.m. on 3rd March 2014. The shares being placed and the Commission Shares will represent approximately 14.8 per cent of the Company's issued share capital immediately following Admission.

Following admission, the Company's issued share capital will consist of 184,236,142 Ordinary Shares, all with voting rights with no shares held in treasury. The total number of current voting rights in the Company will therefore be 184,236,142. This figure (184,236,142 Ordinary Shares) may be used by shareholders as the denominator for the calculation by which they will determine if they are required to notify their interest in, or a change in their interest in, the Company.

Fyne Field update

The Company is also pleased to announce that, with its partner Antrim Resources (N.I) Limited ("Antrim"), it expects to submit the completed Environmental Statement for the Fyne Field ("Fyne") to the Department of Energy and Climate Change ("DECC") by the end of March. Following this, and once the Environmental Statement has been cleared, the final form of the Field Development Plan ("FDP") for Fyne, is then expected to be submitted to DECC in late summer 2014. At the time of submission of the final FDP, any technical issues must be resolved, the environmental statement must be approved, evidence of suitable financing must be provided and Antrim must be approved as a Production Operator. First production is anticipated prior to 25 November 2016. This timeline has been agreed with DECC.

Alan Minty, CEO of Enegi, commented:

"Considerable progress has continued to be made on our marginal field initiative in the last few months. We look forward to working with Antrim and taking Fyne forward through to first oil using ABT Oil & Gas's appropriate technology as well as commencing our activities in the North Celtic sea and applying for further opportunities in the 28th Round.

We also welcome the findings of the Wood Review announced yesterday which have been wholeheartedly backed by David Cameron and the Energy Minister. This Review mirrors the objectives of our marginal field initiative. Through ABT Oil and Gas we are identifying low risk marginal fields which are unable to be developed using conventional development solutions. Using our appropriate technologies, working with industry operators, we believe that we can maximize the recovery from these assets in the UKCS and internationally."