Dario Castelo's side remain in third place following the loss.
Athlone Town slumped to a 2-1 defeat to Cobh Ramblers over the weekend.
Dario Castelo's side took an early lead, thanks to a Dean Ebbe penalty, but that was cancelled out by a Cobh penalty only ten minutes later.
The visitors followed that up with a second goal in the 72nd minute.
The result leaves the Midlanders in third place in the First Division standings, two points behind second-placed UCD.
NHL: Waterford Prove Too Strong For Gallant Offaly
Offaly take on Galway in their next match.
Paul Loonam Secures Seventh Professional Win
The Offaly man was too strong for Darwin Martinez.
NHL: Win For Westmeath, While Offaly Suffer Narrow Defeat
It was another interesting weekend in the National Hurling League.
Back To Back Wins The Aim For Buccaneers This Weekend
Darin Claasen's side are at home tomorrow.
Westmeath Entertain Meath In Division Two
Both sides are undefeated so far.
Micheal Milne Scores First Irish Try In Defeat To France
Andy Farrell's side were beaten convincingly by France.
Offaly Travel To Waterford In National Hurling League
The Faithful are searching for a first win of the season.
Portlaoise Panthers Host League Leaders Killester In Super League
Killester are top with 30 points.
Joe Ward Signs Three Year Deal With Zuffa Boxing
The 32 year old could return to action in the Spring.
Sigerson Cup Semi-Finals Take Place This Evening
The final will be in Croke Park next Wednesday.
Ireland Begin Six Nations Campaign Away To France
Micheal Milne could feature for Ireland this evening.
Athlone Town Learn All-Island Cup Opponents
The group stage will begin in April.
Midlands Hurlers Shine As UL And Mary I Book Fitzgibbon Cup Final Clash
It'll be the second meeting between the two colleges in three years.
Offaly Boxer Set For Honorary Grand Marshal Role
The Tullamore Parade will be held on Tuesday, March 17, starting at 11.30 a.m.
Westmeath Earn Draw Away To Kerry In Division Two
Kevin O'Brien's side picked up their opening point of the season.
CCFL: Wins For Laois And Westmeath Clubs In Paddy Cotter Cup
Week 20 fixtures begin this weekend.
Fitzgibbon Cup Final Places Up For Grabs This Evening
UL are aiming to reach a fifth decider in a row.
Strong First Half Secures Victory For Kildare Over Offaly
Kildare proved too strong for their neighbours.
Buccaneers Pick Up Valuable Victory In Division 2B
Two late penalties swung the game in Buccs' direction.
Wexford Outfought And Out Thought Laois - Justin McNulty
Wexford proved too strong for Laois in Wexford Park on Saturday.
