26 January 2010


             Faroe Petroleum plc ("Faroe Petroleum", the "Company")

 Faroe Petroleum awarded new exploration licence in Norway and prequalifies as
                                    operator

Faroe Petroleum plc, the independent oil and gas company focusing principally on
exploration,  appraisal  and  undeveloped  field  opportunities  in the Atlantic
margin,  the  North  Sea  and  Norway,  is  pleased to announce that it has been
awarded  a new  prospective licence  under the  2009 Norwegian APA Round and has
been prequalified as an operator for the Norwegian Continental Shelf.

Licence  PL477B,  'Zappa'  (Faroe  petroleum  30%, Centrica  (Operator)  40% and
Petro-Canada 30%)
Faroe   Petroleum  has  been  awarded  a  30% interest  in  PL477B.  Significant
hydrocarbon  potential has  been identified  within this  Norwegian Sea licence,
which  is located adjacent  to the Company's  existing PL477 Cooper licence. The
work  programme and licence period for the new award is identical to that of our
licence PL477, with a drill-or-drop decision to be taken in 2011.

Norwegian operatorship prequalification
Faroe has prequalified as an operator on the Norwegian Continental Shelf, which
will allow the Company to pursue operated opportunities and retain higher equity
levels in assets acquired through both upcoming licensing rounds and
acquisitions.

Faroe Petroleum entered Norway in 2006 with the clear objective of building a
significant, high quality exploration portfolio to complement the Company's
strategic Atlantic Margin position.  Norway is recognised as having vast
untapped oil and gas potential, and the Company has built up a considerable
portfolio to explore this, totaling 20 licences.  This has been achieved through
focusing the skills and considerable experience of our established Norway team,
to carefully select the best possible licences with the greatest potential.

Graham Stewart, Chief Executive of Faroe Petroleum plc, commented:

"Faroe  Petroleum is very pleased to  have been awarded this prospective licence
applied   for  in  the  2009 Norwegian  APA  licensing  round.  This  new  asset
complements  the  Company's  existing  licence  portfolio  in Norway, and we are
currently  considering applying  for licences  in the  upcoming 21(st) Licensing
Round  in Norway, in  which some very  exciting new licences  are expected to be
offered".

"As we continue with our scheduled, fully-funded drilling programme, we now look
forward  to five high impact wells in 2010, the first of which is expected to be
the Fogelberg well in Norway next month."

"The  prequalification as operator is a recognition by the Norwegian Authorities
of  Faroe Petroleum's  management systems  and competence.  This is an important
step  and we believe it will open new opportunities for the company in Norway in
the coming years."



  Faroe Petroleum                    Tel: +44 1224 650 920
  Graham Stewart


  Panmure Gordon                     Tel: +44 20 7459 3600
  Dominic Morley/ Ashton Clanfield


  Oriel Securities                   Tel: +44 20 7710 7600
  Michael Shaw/Neil Langford


  Financial Dynamics                 Tel: +44 20 7831 3113
  Billy Clegg/Edward Westropp



Andrew  Roberts,  who  is  a  Geophysicist  (BSc.  Joint  Honours in Physics and
Chemistry  from Manchester  university), Exploration  Manager of Faroe Petroleum
Norge  AS and  who has  been involved  in the  energy industry for more than 25
years,  has  read  and  approved  the  technical  disclosure  in this regulatory
announcement.

Notes to Editors
The  Company is actively building a balanced portfolio of exploration, appraisal
and production properties, with significant stakes and an active work programme.
  Faroe  Petroleum has through successive  licence applications and acquisitions
built  a  substantial  portfolio  of  exploration,  appraisal,  development  and
production assets across the Atlantic Margin, the UK and Norwegian North Sea and
the  Norwegian Sea.  The licence portfolio  provides considerable spread of risk
and reward, encompassing over 40 licences with seven licences West of Shetlands,
six licences offshore the Faroe Islands, nine licences in the Southern gas basin
and  20 licences in the Norwegian North Sea,  Norwegian Sea and Barents Sea.  In
addition  Faroe has interests in five producing oil and gas fields in the UK and
Norway.    Faroe   Petroleum's  joint  venture  partners  include  BP,  Chevron,
ConocoPhillips,  DONG,  DSM,  Eni,  E.ON  Ruhrgas,  GDF, OMV, RWE Dea, Shell and
Statoil all of which have an outstanding track record in oil and gas exploration
and development.

Faroe  Petroleum is quoted on  the AIM Market of  the London Stock Exchange with
offices   in  Aberdeen,  Stavanger  and  Torshavn.  The  Company  has  a  highly
experienced  team of professionals focused on creating exceptional value for its
shareholders.


[HUG#1376976]