29 July, 2016 – U.S. Oil & Gas Plc.- Placing of Ordinary Shares and Operations Update

U.S. Oil & Gas Plc.

(“US Oil” or the “Company”)

Placing of Ordinary Shares and Operations Update

U.S. Oil & Gas Plc, (“USOIL” or the “Company”), the oil and gas exploration company with assets in Nevada, is pleased to announce that it has placed with private investors 1,186,328 new ordinary shares of .0001 Euro each (the “Placing Shares”) at a placing price of STG .27 per share including a share premium of .3199 Euro on each Placing Share to raise gross proceeds of circa $414,715. Each Placing Share will rank pari passu with each ordinary share currently in existence.

The proceeds of the placing will be used to provide US Oil with additional working capital. The net proceeds to be received by the Company are circa $414,715. The 1,186,328 Placing Shares will shortly be issued through CREST.

Following the placing, the issued share capital of the Company will increase to 47,284,515 ordinary shares of .0001 Euro each. This figure may be used by 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 share capital of the Company under the Disclosure and Transparency Rules.

The following parties have an interest of more than 3% in the shares of the Company:

Name No of Shares Percentage holding

Brian McDonnell 3,913,234 8.3%

2016 Funding Report
To date in 2016, in an Open Offer and Placings, the Company has raised circa $1,545,433 net after adjustment for currency exchange rate fluctuations, transaction charges and other factors. Figures presented here are partially based on exchange rates as of July 28 2016. Rates on actual transaction dates may differ.

In terms of current cost estimates, the Company is funded sufficiently to re-enter the Eblana #1 well, drill to greater depth than previously and sidetrack. However, as described below, only after the current data analysis and modelling exercises are complete will it be possible to finalise budgets and tender for drilling and related services.

Operations Update – Vertical Seismic Profiling (VSP study)
As yet, the Company has received no preliminary report from the Halliburton VSP study for which data collection was completed in June 2016. Indications are that analysis of the large amounts of data generated may take several more weeks.

Following the VSP analysis, the data will be integrated with all other relevant datasets to create a 3D Earth model of the area around the Eblana #1 well. This model will provide the basis for a detailed well re-entry and drilling plan, and may indicate a requirement for sidetracking or other strategies that could have significant cost implications. Once these are understood, a tendering process for the drilling contract can be initiated.

CEO Brian McDonnell said, ‘We are delighted with the results of the recent Placing and with the tremendous support for the Company shown by new investors and existing shareholders. We have achieved our fundraising target, although recent currency fluctuations have had a negative impact. We are now pressing ahead with our exploration agenda. Our expert technical team is confident that together with Halliburton they are currently laying the best possible foundation for the next phase of exploration in Hot Creek Valley.’


Neither this announcement nor the information contained herein constitutes an offer or solicitation by U.S. Oil and Gas Plc for the purchase or sale of any securities nor does it constitute a solicitation to any person in any jurisdiction where solicitation would be unlawful.

For further information contact:

Brian McDonnell, Chief Executive Officer +353 (1) 631 9022
Alexander David Securities Ltd – Corporate Finance Adviser
David Scott +44 (0) 20 7448 9820
James Dewhurst +44 (0) 20 7448 9820
Email: [email protected]

Definitions: The terms ‘Reserves’ and ‘Contingent Resources’ are as defined in the ‘Petroleum Resources Management System’ of the Society of Petroleum Engineers.

About U.S. Oil & Gas:

U.S. Oil & Gas plc is an oil and gas exploration company with a strategy to identify and acquire oil and gas assets in the early phase of the upstream life-cycle and mature them. The Company’s
main asset is in Nye County, Nevada where it holds the entire share capital of US-based company, Major Oil International LLC (“Major Oil”). Major Oil has acquired rights to exploration and development acreage in Hot Creek Valley, Nye County, adjacent to the oil and gas rich Railroad Valley area of Nevada, both of which are part of the Sevier Thrust of central Nevada and western Utah, USA.

In a May 2013, an independent Competent Person’s Report (CPR) by Forrest A. Garb & Associates (FGA) of Houston, Texas, estimated 19.2 million barrels Contingent Resources (C50) for a portion of the Company’s lease area in Hot Creek Valley Nevada. Since then, the Company’s stated intention has been to achieve Reserves status for some part of those estimated Resources.

For further information please refer to our website at: www.usoil.us