Lansdowne Oil & Gas plc

Completion of drawdown of £300,000 under existing facility

 Full and final settlement of Transocean Court Case and Liabilities

12 December 2016

Lansdowne Oil & Gas plc ("Lansdowne" or "the Company") (AIM: LOGP), the independent oil and gas company focused on offshore Ireland, is pleased to advise that it has triggered its outstanding option agreement with its major shareholder, and has placed 30,000,000 new ordinary shares ("Additional Placing Shares") at a Placing Price of 1p per share to raise £300,000 before costs.

As previously announced, when raising funds in June this year, in addition to raising £2.1 million (before costs) Lansdowne also put in place a fully underwritten option agreement with major shareholder Brandon Hill Capital Limited, to provide up to £500,000, should the Company be required to reimburse Providence in respect of further costs and/or awards associated with the Transocean Dispute. This litigation arose from the use of the semi-submersible drilling unit, Arctic III, on the Barryroe oilfield offshore Ireland (Providence: 80%, Lansdowne: 20%) in 2011/2012.

As announced on 21 October 2016, the Commercial Court handed down its Judgement (the "Judgement") on 20 October 2016, awarding a portion of the costs claimed by Transocean and Lansdowne's 20% share of these costs was estimated at approximately £220,000.

On 9 November 2016 the Company announced that the Supreme Court ordered that permission to appeal be refused as the appeal does not raise a point of law of general public importance.

The decision of the Supreme Court resulted in some additional legal costs and all costs have now been agreed and finalised and Lansdowne's share amounts to approximately £260,000.

The funds raised through this drawdown will be used to settle these costs and the additional amount will provide general working capital. The balance of the £500,000 facility, being £200,000, has been terminated given it is no longer required as full and final settlement of the Transocean dispute has now occurred.

Application has been made for the 30,000,000 Additional Placing Shares to be admitted to trading on Aim and Admission is expected to occur on 16 December 2016.  Following the issue of the Additional Placing Shares, the Company will have 510,164,394 ordinary shares of 1p each in issue ("Ordinary Shares"). No Ordinary Shares are held in treasury. The figure of 510,164,394 may be used by the Company's shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the Financial Conduct Authority's Disclosure Rules and Transparency Rules.

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"). Upon the publication of this announcement via Regulatory Information Service ("RIS"), this inside information is now considered to be in the public domain.

Commenting on the news, Lansdowne CEO Steve Boldy said:

"This dispute arose as a result of the failure of equipment on the rig whilst drilling the Barryroe appraisal well, leading to extensive delay and cost over-run. The long-running litigation has been a painful and distracting experience for the Company and it is a great relief to finally put this behind us. We can now focus solely upon moving the Barryroe project forward. Given the recent and projected continued strengthening of the oil price, the Company remains optimistic that a long awaited farm out will be able to be concluded in 2017. With net 2C contingent resources to Lansdowne of 68mmboe and significant additional upside, the Board believe significant value remains to be unlocked and will look to explore a variety of avenues to ensure this takes place."

For further information please contact:

Beaufort Securities 

Joint Broker                                                                                            +44 (0) 20 7382 8300

Jon Belliss

Notes to editors:

About Lansdowne

Lansdowne Oil & Gas (LOGP.LN) is a North Celtic Sea focussed, oil and gas exploration and appraisal company quoted on the AIM market and head quartered in Dublin. Lansdowne holds acreage in the shallow-water North Celtic Sea Basin, including a 20% stake in Exploration Licence SEL1/11 which contains the Barryroe oil field.

For more information on Lansdowne, please refer to www.lansdowneoilandgas.com

About Barryroe

Barryroe, located in the North Celtic Sea Basin, off the south coast of Ireland, has had six wells successfully drilled on the structure.  Hydrocarbons have been logged in all six wells, with flow test results from four wells.  Four wells were drilled in the 1970's by Esso with a further appraisal well drilled in 1990 by Marathon Oil.  The sixth well was drilled by Providence in 2011/12. The oil is light (43^o API) with a wax content of c. 17-20%. The successfully tested reservoir sands are of Cretaceous Middle and Lower Wealden age located between c. 4,500' TVDSS and 7,550' TVDSS.  The field is covered by both 2D and 3D seismic, the latter which was acquired in 2011.

Audited (NSAI/RPS) on block resources amount to 1.048 billion barrels in place, with an estimated P50 recoverable resources of 311 MMBO (plus associated gas). A further 778 MMBO barrels in place have been identified in incremental sands, though these sands have yet to be tested.