REG-Falcon Oil & Gas Ltd. - Approval granted by Northern Territory Government for the Beneficial Use of Gas agreement

Falcon Oil & GasAnnouncement

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Falcon Oil & Gas Ltd (“Falcon”)

Approval granted by Northern Territory Government for the Beneficial Use of
Gas agreement

02 September 2025 – Falcon Oil & Gas Ltd. (TSXV: FO, AIM: FOG) is pleased to
announce that approval has been secured by Falcon Oil & Gas Australia
Limited’s (“Falcon Australia”) joint venture partner Tamboran (B2) Pty
Limited (collectively the “BJV partners”) from the Northern Territory
Government (“NTG”) for the Beneficial Use of Gas agreement
(“Agreement”). This approval allows for the sale of appraisal gas from the
Shenandoah South Pilot Project.

Points to note:
* The NTG approval allows the BJV partners to sell appraisal gas from EP98 and
EP117 in the Beetaloo sub-basin under the Beneficial Use of Gas (“BUG”)
legislation.
* This is the first approval granted by the NTG under the new BUG legislation.
* The BJV partners now hold all necessary approvals to sell gas from the
Shenandoah South Pilot Project (“Pilot Project”).
* The BJV partners recently signed the Beneficial Use of Gas agreement
(“Agreement”) with the Native Title Holders. The Agreement permits the BJV
partners to sell appraisal gas of up to 60 TJ per day from the Pilot Project
over a three-year period, subject to the Agreement’s terms.
* The BJV partners have contracted an initial 40 million cubic feet per day
(“MMcf/d”) to supply the NTG until mid-2041, which is expected to provide
energy security for the Northern Territory.
* This paves the way for construction of the A$140 million Sturt Plateau
Compression Facility (“SPCF”). Falcon has no cost exposure in the
construction of the SPCF.
* Commencement of gas sales to the NTG via the SPCF is expected in mid-2026,
subject to weather conditions and final stakeholder approvals.
* Work begins this month on the Northern Territory’s first-ever Beetaloo
pipeline, with APA Group investing A$70 million to deliver the 37-kilometre
Sturt Plateau Pipeline.
2025 Drilling Campaign
* The 2025 drilling campaign continues to progress with the intermediate
section of all three wells (S2-1H, S2-3H and S2-5H) successfully drilled. The
horizontal section of the S2-5H well in the Amungee B Shale is currently being
drilled. The campaign is the first multi-well drilling program implementing
batch drilling in the Beetaloo Basin.
* As previously announced, Falcon Australia has no cost exposure to the
drilling of these three wells as it opted to reduce its participating interest
in the three wells to 0%.
* Stimulation of the S2-4H well, in which Falcon has a 5% interest, is planned
for Q4 2025.
Philip O’Quigley, CEO of Falcon commented:

“It is great to see this increased activity in the Beetaloo with not only
the batch drilling of three new wells, but also the start of construction by
APA on the 37km Sturt Plateau Pipeline and the continuation of the work on the
Sturt Plateau Compression Facility by our BJV partner Tamboran (B2) Pty
Limited.”         

Ends.

CONTACT DETAILS:

 Falcon Oil & Gas Ltd.     +353 1 676 8702   
 Philip O’Quigley, CEO     +353 87 814 7042  
 Anne Flynn, CFO           +353 1 676 9162   
                                             
 Cavendish Capital Markets Limited (NOMAD & Broker) 
 Neil McDonald / Adam Rae  +44 131 220 9771  



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. Falcon Oil & Gas Ltd is incorporated
in British Columbia, Canada and headquartered in Dublin, Ireland.

Falcon Oil & Gas Australia Limited is a c. 98% subsidiary of Falcon Oil & Gas
Ltd.

For further information on Falcon Oil & Gas Ltd. Please visit
www.falconoilandgas.com

About Beetaloo JV Partners (EP 76, 98 and 117)   

 Company                                                Interest  
 Falcon Oil & Gas Australia Limited (Falcon Australia)  22.5%     
 Tamboran (B2) Pty Limited (“ Tamboran B2 ”)            77.5%     
 Total                                                  100.0%    

Shenandoah South Pilot Project -2 Drilling Space Units – 46,080 acres(1)

 Company                                                Interest  
 Falcon Oil & Gas Australia Limited (Falcon Australia)  5.0%      
 Tamboran (B2) Pty Limited                              95.0%     
 Total                                                  100.0%    

(1)Subject to the completion of SS-4H wells on the Shenandoah South pad 2.

About Tamboran (B2) Pty Limited
Tamboran (B1) Pty Limited (“Tamboran B1”) is the 100% holder of Tamboran
(B2) Pty Limited, with Tamboran B1 being a 50:50 joint venture between
Tamboran Resources Corporation and Daly Waters Energy, LP.

Tamboran Resources Corporation is a natural gas company listed on the NYSE
(TBN) and ASX (TBN). Tamboran is focused on playing a constructive role in the
global energy transition towards a lower carbon future, by developing the
significant low CO(2) gas resource within the Beetaloo Sub-basin through
cutting-edge drilling and completion design technology as well as
management’s experience in successfully commercialising unconventional shale
in North America.

Bryan Sheffield of Daly Waters Energy, LP is a highly successful investor and
has made significant returns in the US unconventional energy sector in the
past. He was Founder of Parsley Energy Inc. (“PE”), an independent
unconventional oil and gas producer in the Permian Basin, Texas and previously
served as its Chairman and CEO. PE was acquired for over US$7 billion by
Pioneer Natural Resources Company.

Advisory regarding forward-looking statements
Certain information in this press release may constitute forward-looking
information. Any statements that are contained in this news release that are
not statements of historical fact may be deemed to be forward-looking
information. Forward-looking information typically contains statements with
words such as “may”, “will”, “should”, “expect”, “intend”,
“plan”, “anticipate”, “believe”, “estimate”, “projects”,
“dependent”, “consider” “potential”, “scheduled”,
“forecast”, “anticipated”, “outlook”, “budget”, “hope”,
“suggest”, “support” “planned”, “approximately”,
“potential” or the negative of those terms or similar words suggesting
future outcomes. In particular, forward-looking information in this press
release includes, the commencement of gas sales to the Northern Territory
Government via the Sturt Plateau Compression Facility in mid-2026 subject to
weather conditions and final stakeholder approvals; the sale of appraisal gas
of up to 60 TJ per day from the Shenandoah South Pilot project over a three
year period; an initial 40 MMCf/d to be supplied to the Northern Territory
Government until mid-2041 providing energy security for the Northern
Territory; and the Shenandoah Pilot program continuing to progress.

This information is based on current expectations that are subject to
significant risks and uncertainties that are difficult to predict. The risks,
assumptions and other factors that could influence actual results include
risks associated with fluctuations in market prices for shale gas; risks
related to the exploration, development and production of shale gas reserves;
general economic, market and business conditions; substantial capital
requirements; uncertainties inherent in estimating quantities of reserves and
resources; extent of, and cost of compliance with, government laws and
regulations and the effect of changes in such laws and regulations; the need
to obtain regulatory approvals before development commences; environmental
risks and hazards and the cost of compliance with environmental regulations;
aboriginal claims; inherent risks and hazards with operations such as
mechanical or pipe failure, cratering and other dangerous conditions;
potential cost overruns, drilling wells is speculative, often involving
significant costs that may be more than estimated and may not result in any
discoveries; variations in foreign exchange rates; competition for capital,
equipment, new leases, pipeline capacity and skilled personnel; the failure of
the holder of licenses, leases and permits to meet requirements of such;
changes in royalty regimes; failure to accurately estimate abandonment and
reclamation costs; inaccurate estimates and assumptions by management and/or
their joint venture partners; effectiveness of internal controls; the
potential lack of available drilling equipment; failure to obtain or keep key
personnel; title deficiencies; geo-political risks; and risk of litigation.

Readers are cautioned that the foregoing list of important factors is not
exhaustive and that these factors and risks 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.sedarplus.com,
including under "Risk Factors" in the Annual Information Form.

Any references in this news release to initial production rates are useful in
confirming the presence of hydrocarbons; however, such rates are not
determinative of the rates at which such wells will continue production and
decline thereafter and are not necessarily indicative of long-term performance
or ultimate recovery. While encouraging, readers are cautioned not to place
reliance on such rates in calculating the aggregate production for Falcon.
Such rates are based on field estimates and may be based on limited data
available at this time.

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