Growth Through Successful Exploration and Drilling Strategies

May 30 , 2008 NEWS RELEASE   Nordic Oil and Gas Announces First Quarter 2008 Results   WINNIPEG, May 30 /CNW/ - Donald Benson, Chairman and Chief Executive Officer of Nordic Oil and Gas Ltd. ("Nordic" or "the Company") today announced the Company's financial results from operations for the three-month period ended March 31, 2008. All amounts referenced herein are in Canadian dollars. Revenue from oil and natural gas sales (including liquids, transport revenue and interest earned) during the first quarter of 2008 totalled $149,101 compared to $189,139 in Q1 2007. Although down slightly from a year ago, the Q1 2008 revenue was up when compared to the previous two quarters and is the highest since Q2 2007. In addition, gross profit from operating activities (production revenue minus production costs, not including royalties paid) totalled $88,366 for the quarter ended March 31, 2008, compared to $145,927 for the same period in 2007. Furthermore, revenue from operating activities (cash received from operators minus royalty expense) totalled $121,089 for the quarter ended March 31, 2008, compared to the $157,707 reported in prior year. Current assets, including cash, term deposits and accounts receivable at the end of the first quarter were 5,847,257, up significantly from the $3,169,248 at the end of 2007. This was due largely to the successful financing completed during the first quarter of the year. Total assets as at March 31, 2008 were $10,882,995, up significantly from the 2007 year-end total of $7,713,059. This was due primarily to the substantial increase in short term investments which increased to $3,907,439 from $204,191 in 2008. The net loss for the period was also higher than that recorded during Q1 in 2007 - $124,445 versus $115,690. The increase in the 2007 loss can partially be attributed to the rise in the Company's stock based compensation and the General & Administrative (G & A) expenses. Net loss per share in Q1 2008 was $0.0034 compared to a net loss per share of $0.0073 in Q1 2007. Liabilities and shareholders' equity at the end of March 2008 totalled $10,882,995 compared to $7,713,059 as at December 31, 2007. The increase is due to the rise in accounts payable of $626,879 and the first quarter financings that increased shareholders' equity. Accounts payable rose because of a reclassification of related party receivables and payables. Overall expenses, not including production costs for the quarter under review, increased to $575,264 from $233,791 for the year prior. The primary reason for the increase in total expenses was the sharp rise in stock option expenses to $284,473 as opposed to nil in Q1 2007 and the increase in G & A expenses to $99,888 from $39,662. Commenting on the financial results Mr. Benson stated: "We are pleased to see that our revenue has increased when compared to the previous two quarters and we expect this trend to continue in the quarters ahead. In addition, we are also delighted that we are in such a strong cash position at the end of the quarter. Our ability to raise a record amount of money in 2007, coupled with the successful financing that closed in March of this year, we are on the strongest financial ground we have ever been on. "This will allow us to undertake our most aggressive and largest capital expenditures program in our history, beginning with our exploration drilling initiatives in Preeceville, Saskatchewan and our development drilling activities in both Joffre and Lloydminster, Alberta," he added. In other news, Mr. Benson also announced today that Nordic has retained Raymond James Ltd. ("Raymond James") to act as the Company's agent for a brokered private placement financing. Raymond James will be offering this financing to a predetermined select group of clients. The Offering will consist of up to 4,166,666 Units ("Units") at a price of $0.60 per Unit for total gross proceeds of $2.5 million. Each Unit will consist of one Class A common share of the Company issued as a "flow-through share" within the meaning of the Income Tax Act (Canada) and one half of one Class A common share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder thereof to purchase one non flow-through regular Class A common share of the Company at a price of $0.85 for a period of two years from the date of issuance. A cash selling commission of 7.5% of the gross proceeds raised will be paid on this transaction to Raymond James Ltd. In addition, Nordic will also grant to Raymond James, broker warrants equal to 8% of the number of Units sold pursuant to the offering. Each broker warrant will entitle the holder thereof to purchase one non flow-through Class A common share of the Company at a price of $0.60 per share for a period of 24 months from the date of issuance. In addition, Raymond James will be paid a corporate finance fee of $10,000 and will be reimbursed for its expenses by the Company It is expected that the Offering will close on or about June 25, 2008, subject to regulatory approval. All the terms of the Offering are also subject to the approval of the TSX Venture Exchange. About Nordic Oil and Gas Ltd. Nordic Oil and Gas Ltd. is a junior oil and gas company engaged in the exploration and development of oil, natural gas and Coal Bed Methane in Alberta and Saskatchewan. The Company is listed on the TSX Venture Exchange and trades under the symbol NOG. The TSX Venture Exchange has not reviewed nor accepts responsibility for the adequacy or accuracy of the contents of this News Release. This news release contains certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical fact, that address events or developments that the Company expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploration and drilling success, continued availability of capital and financing and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. The Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change   For additional information, contact: Donald Benson Chairman & CEO   Nordic Oil & Gas Ltd. Tel: 204-956-5042 Fax: 204-897-7154 E-mail: dbenson57@shaw.ca