UK Oil & Gas Investments PLC

                                                                                ("UKOG" or the "Company")     

Loan Conversion

UK Oil & Gas Investments PLC (London AIM: UKOG), announces that, in relation to the £10 million financing announced on 15 November 2017 ("Loan"), it has received a notice of exercise from Cuart Investments PCC Ltd and YA II PN Ltd ("Investors") to convert part of the Loan, with an aggregate par value of £500,000, into equity ("Conversion Notice").

The Company has therefore issued today 16,753,225 new ordinary shares to the Investors ("Investor Shares"). The Investor Shares will rank pari passu in all respects with the existing ordinary shares.

Application has been made for these New Ordinary Shares to be admitted to trading on AIM and it is anticipated that trading in such shares will commence on or around 22 December 2017. After today's conversion, the Par Value outstanding on the first £7.5 million tranche of the Loan is £5 million. The second and final £2.5 million tranche will be paid to the Company on December 31 2017.

Following Admission, the Company's enlarged issued share capital will comprise 3,630,706,545 ordinary shares. The Company does not hold any shares in treasury. This figure of 3,630,706,545 ordinary shares may be used by shareholders in the Company as the denominator for  the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA's Disclosure and Transparency Rules.

Loan Terms

The terms of the Loan, as stated by the Company on 15 November 2017, includes a provision that for as long as any portion of the Loan is outstanding, neither the Investors nor any of their affiliates;

i.  shall hold any net short position with respect to the equity of UKOG and

ii. can trade more than 15 % of the number of UKOG shares that have traded in a trading day.

The Loan is convertible in tranches of not less than £250,000, with a limit of £3 million per quarter, unless otherwise agreed by the Company.

For further information, please contact:

UK Oil & Gas Investments PLC

Stephen Sanderson / Kiran Morzaria                                     Tel: 01483 243450 

WH Ireland (Nominated Adviser and Broker)

James Joyce / James Sinclair-Ford                                          Tel: 020 7220 1666

Cenkos Securities PLC (Joint Broker)

Joe Nally / Leif Powis                                                                   Tel: 0207 397 8919

Public Relations

Brian Alexander / David Bick                                                    Tel: 01483 243450

UKOG Licence Interests

The Company has interests in the following ten UK Oil and Gas licences:

Notes:

1. Oil field currently in production.

2. Oil discovery pending development and/or appraisal drilling.

3. Exploration asset with drillable prospects and leads. Contains the Broadford Bridge-1 and 1z discovery well and the extension of the Godley Bridge Portland gas discovery.

4. UKOG has a 100% interest in Kimmeridge Oil & Gas Limited, which has a 100% interest in PEDL234.

5. Oil discovery with recently completed flow testing.

6. UKOG has a direct 49.9% interest in HHDL, which has a 65% interest in PEDL137 and PEDL246.

The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014.