Placing to raise £0.25 million (gross)

29 March 2019

Nu-Oil and Gas plc

("Nu-Oil" or "the Company")

Placing to raise £0.25 million (gross)

The Company announces that it has completed a placing of new ordinary shares of 0.1 pence each in the Company ("Ordinary Shares") to raise £0.25 million in total before expenses. The Company placed 83,333,333 new Ordinary Shares (the "Placing Shares") at a price of 0.3p per Placing Share (the "Placing Price") to raise £0.25 million (before expenses) (the "Placing"). The Placing was organised by Novum Securities Limited ("Novum"), the Company's broker.

The net proceeds of the Placing will be applied to the Company's general working capital requirements and therefore in supporting the implementation of the marginal field strategy where gas-to-wire is a particular focus. The Company expects its working capital requirements to be reduced following the anticipated financing arrangements for Marginal Field Development Company (MFDevCo) Ltd. ('MFDevCo') announced on 28 March 2019 as some of the Company's staff are utilised within MFDevCo. The Company will also launch an Open Offer in due course as per the commitment the Board made at the request of its shareholders at the Company's Annual General Meeting on 25 January 2019.

The Placing is being carried out utilising the Company's current authority to issue shares for cash on a non pre-emptive basis.

Application will be 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"). Admission is expected to become effective at 8.00 a.m. on 5 April 2019.

Following Admission, the Company will have 1,455,360,464 Ordinary Shares in issue. The Company holds 12,325,378 Ordinary Shares in treasury. Therefore, the figure of 1,443,035,086 Ordinary Shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA's Disclosure Guidance and Transparency Rules.

In conjunction with the Placing, Nu-Oil has also issued 8,333,333 warrants to Novum, with each warrant able to subscribe for one new Ordinary Share at the Placing Price, exercisable within 5 years from the date of Admission.

Graham Scotton, Executive Chairman of Nu-Oil, commented, "The Company's efforts to progress its activities requires funding. The Company has sought to undertake a placing of a lower quantum to minimise dilution to shareholders, who will also be able to participate shortly on the same terms through the Open Offer as requested by shareholders at the AGM.

The speed of progress made by MFDevCo with respect to gas to wire opportunities gives me confidence in its activities. The funds raised through the Placing should, in time, be supplemented by funds hopefully raised from the Open Offer and our cash requirements will potentially be reduced by the recently proposed funding arrangements of MFDevCo."

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Disclaimer

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR").