Grant of Option

24 Jan 2006 08:56

Falkland Oil and Gas Limited24 January 2006 Falkland Oil and Gas Limited Grant of option Falkland Oil and Gas Limited (the "Company") announces that on 23 January 2006Tim Bushell was granted an option over 457,627 ordinary shares of 0.002p each inthe Company ("Ordinary Shares") at an exercise price of 118 pence per OrdinaryShare. The option may be exercised between 23 January 2009 and 22 January 2013 subjectto the satisfaction of performance criteria relating to the compound annualincrease in the Company's share price over the period 23 January 2006 to 22January 2009 (the "Performance Period"). Increase in the price of an Ordinary Share during the Percentage of Ordinary Shares (in number) in respect ofPerformance Period which the option may be exercised less than 10 per cent compound per annum Nil 10 per cent compound per annum 25 per cent 50 per cent compound per annum 100 per cent Between 10 per cent and 50 per cent compound per annum Straight line apportionment between 25 per cent and 100 per cent It is also the Company's current intention to grant a further option to TimBushell shortly after the release of its interim results for the 6 months endingon 30 September 2006 over Ordinary Shares with a market value of £180,000 (andthe exercise price per Ordinary Share of that option will be equal to the thenmarket value of an Ordinary Share). A further announcement will be made in duecourse to the extent necessary. Enquiries: FOGL David Hudd, Deputy Chairman 020 7563 1276 KBC Peel Hunt Ltd Jonathan Marren 020 7418 8900 College Hill Ben Brewerton 020 7457 2020 This information is provided by RNS The company news service from the London Stock Exchange