Falcon Oil & Gas Ltd. enters into binding agreement to acquire an additional 25% working interest in the Beetaloo Basin Project

DENVER, CO, May 27 /CNW/ - Falcon Oil & Gas Ltd. (TSXV: FO) ("Falcon" or the "Company") announces that, further to its press release dated April 27, 2009, Falcon has entered into a binding agreement with PetroHunter Energy Corporation ("PetroHunter") under which Falcon will acquire (the "Acquisition") an additional undivided 25% working interest in PetroHunter's
four exploration permits covering seven million acres in the Beetaloo Basin of the Northern Territory, Australia (the "Beetaloo Basin Project"). The Acquisition will bring Falcon's total working interest in the Beetaloo Basin Project to 75%.

The closing of the Acquisition is subject to the fulfillment of certain closing conditions, as well as the receipt of all required regulatory approvals. Closing of the Acquisition is now expected to occur on or about June 10, 2009.

Marc A. Bruner, the Chairman, CEO and President of Falcon, continues to be a significant shareholder of PetroHunter. The negotiation and entering into of the other material agreements relating to the transaction continue to be governed by a committee of the independent directors of Falcon.

A copy of the binding agreement, together with other material agreements relating to the transaction, will be available on SEDAR at www.sedar.com.

Source: CNW CA