Falcon Oil & Gas Ltd. - Filing of Interim Finan...

FALCON OIL & GAS LTD.

(“Falcon”)

Filing of Interim Financial Statements

27 August 2021 - Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) announces that it has filed its Interim Financial Statements for the three and six months ended 30 June 2021 and the accompanying Management’s Discussion and Analysis (“MD&A”).

The following should be read in conjunction with the complete unaudited unreviewed Interim Financial Statements and the accompanying MD&A for the three and six months ended 30 June 2021, which are available on the Canadian System for Electronic Document Analysis and Retrieval (“SEDAR”) at www.sedar.com and on Falcon’s website at www.falconoilandgas.com.

20 2 1 financial h ighlights and other financial updates

• Strong financial position, debt free with cash of US$10 million at 30 June 2021 (31 December 2020: US$11 million).
• Continued focus on cost management and the efficient operation of the portfolio.

CONTACT DETAILS:

Falcon Oil & Gas Ltd.	[phone]
Philip O'Quigley, CEO	[phone]
Anne Flynn, CFO	[phone]
Cenkos Securities plc ( NOMAD & Broker)
Neil McDonald / Derrick Lee	[phone]

Interim Condensed Consolidated Statement of Operations and Comprehensive (Loss) / Income

(Unaudited)

	Three months ended 30 June 2021 $’000	Three months ended 30 June 2020 $’000	Six months ended 30 June 2021 $’000	Six months ended 30 June 2020 $’000
Revenue
Oil and natural gas revenue	-	1	2	2
	-	1	2	2
Expenses
Exploration and evaluation expenses	(42)	(35)	(82)	(73)
Production and operating expenses	-	(3)	-	(5)
General and administrative expenses	(449)	(597)	(915)	(1,000)
Share based compensation	(182)	-	(747)	-
Foreign exchange gain / (loss)	37	17	(118)	(11)
	(636)	(618)	(1,862)	(1,089)
Results from operating activities	(636)	(617)	(1,860)	(1,087)
Fair value gain – outstanding warrant	-	-	-	110
Finance income	2	874	3	15
Finance expense	(59)	(58)	(126)	(279)
Net finance (expense) / income	(57)	816	(123)	(264)
(Loss) / income and comprehensive (loss) / income for the period	(693)	199	(1,983)	(1,241)
(Loss) / income and comprehensive (loss) / income attributable to:
Equity holders of the company	(693)	183	(1,982)	(1,238)
Non-controlling interests	-	16	(1)	(3)
(Loss) / income and comprehensive (loss) / income for the period	(693)	199	(1,983)	(1,241)
(Loss) / income per share attributable to equity holders of the company:
Basic and diluted	(0.001 cent)	0.000 cent	(0.002 cent)	(0.001 cent)

Interim Condensed Consolidated Statement of Financial Position

(Unaudited)

		At 30 June 20 2 1 $’000	At 31 December 2020 $’000
Assets
Non-current assets
Exploration and evaluation assets		40,188	40,444
Property, plant and equipment		3	4
Trade and other receivables		23	23
Restricted cash		2,360	2,429
		42,574	42,900
Current assets
Cash and cash equivalents		9,974	11,036
Trade and other receivables		112	117
		10,086	11,153
Total assets		52,660	54,053
Equity and liabilities
Equity attributable to owners of the parent
Share capital		392,170	392,170
Contributed surplus		45,822	45,075
Retained deficit		(397,155)	(395,173)
		40,837	42,072
Non-controlling interests		700	701
Total equity		41,537	42,773
Liabilities
Non-current liabilities
Decommissioning provision		10,653	10,563
		10,653	10,563
Current liabilities
Accounts payable and accrued expenses		470	717
		470	717
Total liabilities		11,123	11,280
Total equity and liabilities		52,660	54,053

Interim Condensed Consolidated Statement of Cash Flows

(Unaudited)

		Six months ended 30 June
		20 2 1 $’000	2020 $’000
Cash flows from operating activities
Net loss for the period		(1,983)	(1,241)
Adjustments for:
Share based compensation		747	-
Depreciation		1	-
Fair value gain - outstanding warrant		-	(110)
Net finance expense		123	264
Effect of exchange rates on operating activities		118	11
Transfer of Canadian working interests		(28)	-
Change in non-cash working capital:
Decrease in trade and other receivables		5	46
(Decrease) / increase in accounts payable and accrued expenses		(43)	37
Net cash used in operating activities		(1,060)	(993)
Cash flows from investing activities
Interest received		3	15
Exploration and evaluation assets		(2)	(48)
Net cash generated from / (used in) investing activities		1	(33)
Change in cash and cash equivalents		(1,059)	(1,026)
Effect of exchange rates on cash & cash equivalents		(3)	(225)
Cash and cash equivalents at beginning of period		11,036	13,066
Cash and cash equivalents at end of period		9,974	11,815

All dollar amounts in this document are in United States dollars “$”, except as otherwise indicated.

About Falcon Oil & Gas Ltd.

Falcon Oil & Gas Ltd is an international oil & gas company engaged in the exploration and development of unconventional oil and gas assets, with the current portfolio focused in Australia, South Africa and Hungary. Falcon Oil & Gas Ltd 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

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.