Falcon Oil & Gas Ltd.: Hungary Well Test Be...

FOR:  FALCON OIL & GAS LTD.

TSX VENTURE SYMBOL:  FO
AIM SYMBOL:  FOG

March 3, 2014

Falcon Oil & Gas Ltd.: Hungary Well Test Begins

DUBLIN, IRELAND--(Marketwired - March 3, 2014) - Falcon Oil & Gas Ltd. (TSX VENTURE:FO)(AIM:FOG)(ESM:FAC) ("Falcon" or
the "Company") is pleased to announce that well testing operations on the Kutvolgy-1 well in Hungary have started.

Kutvolgy-1 is the first of a three well drilling and testing programme fully funded by NAFTNA INDUSTRIJA SRBIJE JSC
("NIS"), to evaluate the gas potential of the Algyo Formation in Falcon's Mako trough permit.

The testing objectives are to determine reservoir quality and gas productivity from the target Algyo formation
encountered in Kutvolgy-1. Testing operations are anticipated to take 3 months.

Philip O'Quigley, CEO of Falcon commented:

"We are pleased to confirm that well testing operations on our Kutvolgy-1 well have commenced.
Technical evaluation of the well results obtained so far indicate possible gas pay zones in the Algyo formation that
will be tested in the coming weeks."

About the Algyo

The Algyo is a relatively shallow play between 2,300m and 3,500m. A number of Falcon wells have been drilled through the
Algyo in recent years, some of which encountered gas shows, but to date no well has ever tested the play concept at an
optimal location as previous wells targeted deeper intervals of up to 6,000m.

Multiple Algyo prospects have subsequently been identified by Falcon through extensive AVO analysis. The ongoing
exploration drilling program with NIS is targeting three separate high-graded prospects.

An independent study by RPS Energy published in January 2013 included for the first time Prospective Resource
recoverable volumes attributable to the shallow Algyo Play. According to the RPS report, eight of the ten prospects
identified by Falcon contain 568 BCF of prospective recoverable gas resources, each with a 10% Geological Probability of
Success ("GPoS").

About Falcon Oil & Gas Ltd.

Falcon 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 spread between Australia, South Africa and Hungary. Falcon
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.

About NAFTNA INDUSTRIJA SRBIJE JSC ("NIS")

NIS is one of the largest, vertically integrated oil and gas companies in Southeast Europe, focusing on exploration and
production of hydrocarbons, refining of crude oil and sales of a broad range of petroleum products.

For further information on NIS please visit www.nis.rs.

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. Actual
results might differ materially from results suggested in any forward-looking statements. Falcon 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 Falcon. Additional
information identifying risks and uncertainties is contained in Falcon's filings with the Canadian securities
regulators, which filings are available at www.sedar.com.

FOR FURTHER INFORMATION PLEASE CONTACT:

Falcon Oil and Gas Ltd.
[phone]
www.falconoilandgas.com

OR

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

OR

FTI Consulting
Edward Westropp
[phone]

OR

FTI Consulting
Natalia Erikssen
[phone]

OR

FTI Consulting
Katherine Golligher
[phone]

OR

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

OR

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

OR

Cantor Fitzgerald Europe (Joint Broker)
David Porter / Richard Redmayne
[phone]

Falcon Oil & Gas Ltd.