Zion Oil & Gas Completes Second Drilling Milestone in Megiddo-Jezreel #2 (MJ-02) Well in Israel

Zion launches new $250 Unit Program with $2.5million raise limit

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Apr 12, 2021, 17:07 ET

DALLAS and CAESAREA, Israel, April 12, 2021 /PRNewswire/ -- Zion Oil & Gas, Inc. (OTCQX: ZNOG) announces its successful drilling of the second section of the Megiddo-Jezreel #2 (MJ-02) well and launches a new Unit Program to help fund Zion's 2021 exploration program.

Zion Drilling Rig (left) and Zion Drilling crew at work (right). Photo taken on April 11, 2021.

Basic Details of Zion Oil & Gas Unit Program Launched on April 12, 2021

"With our 17 ½ inch section drilled to a milestone depth, and avoiding previous subsurface hazards from MJ01, we are positioned to achieve more flexibility on our lateral portion of the MJ02 well," expressed Zion Oil & Gas CEO, Robert Dunn. "With all key service providers on board, we continue to move forward with our ongoing 2021 operational plans."

ZION COMPLETES SECOND OF FOUR DRILLING SECTIONS

"We are happy to announce that we have reached our true vertical depth for the second stage of drilling," Zion's VP of Operations, Monty Kness, stated. "Reaching a depth far deeper than any previous well with such a large wellbore came with extreme difficulty as the crew fought the natural pressure of the earth to keep the wellbore trajectory on target."

Reaching the intermediate target zones with a borehole that can support the larger casing and production tubing to make a viable well is of vital importance to the overall objectives of Zion. At this stage, Zion will finish the logging, casing, and cementing of this section and then continue drilling toward the ultimate target zones.

Having reached the halfway point, Zion's operational team will begin to secure well-testing services and investigate the tendering and availability of completion services.

NEW LIMITED UNIT PROGRAM

Details:

Investors may participate starting Monday, April 12, 2021.
This Unit Program will continue until the earlier to occur of Wednesday, May 12, 2021, or Zion raises $2.5million in Unit sales under this program and will not be extended.
The cost of each Unit will be $250.00 for new and existing Direct Stock Purchase Plan investors.
Each Unit purchase will provide the investor with $250 of ZNOG common stock (at the day's high-low average) and fifty (50) $0.25 Warrants.
Warrants are exercisable on the 30^th day following the end of Unit Program and remain exercisable for two years (June 11, 2021, to June 12, 2023).
If investors sign up for Zion's automatic monthly investments (AMI) in addition to purchasing a Unit during this Unit program, then they will receive 10 $0.25 Warrants. Current subscribers are eligible for these additional warrants if they choose to participate in this unit purchase. (For more details on the automatic monthly investments (AMI), see Zion's Prospectus.)
This Unit Program is available through Zion's website. Investors may go to https://www.zionoil.com/dspp to purchase electronically online.

Zion Oil & Gas, a public company, traded on OTCQX Best Market, explores for oil and gas onshore in Israel on their 99,000-acre Megiddo-Jezreel license area.

"The Lord Himself goes before you and will be with you; He will never leave you nor forsake you. Do not be afraid; do not be discouraged."
Deuteronomy 31:8

"Sing to the Lord, for he has done glorious things; let this be known to all the world. Shout aloud and sing for joy, people of Zion, for great is the Holy One of Israel among you."
Isaiah 12:5-6

FORWARD-LOOKING STATEMENTS: Statements in this communication that are not historical fact, including, but not limited to, statements regarding Zion's operations; Zion's ability to discover and produce oil in commercial quantities; Zion's ability to continue as a going concern; operational risks in ongoing exploration efforts; the timing and completion of the processing, interpretation of the results and plans contingent thereon off the 3-D seismic survey; regulatory approvals needed for the rig's operation; the effect, if any, of the coronavirus pandemic on the timing of the operation of the well, and liquidity for shareholders on OTCQX are forward-looking statements as defined in the "Safe Harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on assumptions that are subject to significant known and unknown risks, uncertainties, and other unpredictable factors, many of which are described in Zion's periodic reports filed with the SEC and are beyond Zion's control. These risks could cause Zion's actual performance to differ materially from the results predicted by these forward-looking statements. These risks and uncertainties include, but are not limited to, those described in Item 1A in Zion's Annual Report on Form 10-K, which is expressly incorporated herein by reference, and other factors as may periodically be described in Zion's filings with the SEC. Zion can give no assurance that the expectations reflected in these statements will prove to be correct and assumes no responsibility to update these statements.

Contact Info:
Andrew Summey
VP, Marketing and Investor Relations
Zion Oil & Gas, Inc. (OTCQX: ZNOG)
12655 North Central Expressway, Suite 1000, Dallas, TX 75243
Telephone: 888-891-9466
Email: [email protected]
www.zionoil.com

SOURCE Zion Oil & Gas, Inc.