Zion Oil & Gas Inc (ZNOG)

[Kid-Gloves]

Operations Update

 

We recognize our shareholders are walking alongside of Zion, anxiously awaiting the spud of our Megiddo-Jezreel #1 well. As such, I wanted to take an opportunity to give a brief operations update as of May 12, 2017.

Currently, Zion is progressing towards spud, well in advance of our obligation date of June 30, 2017.

In my last update, I relayed that the first two weeks of May would be active weeks in which the drilling crew and support equipment from service providers such as Weatherford and Halliburton would arrive in Israel.

I am happy to announce that has occurred, and while there was about a one-week delay due to factors such as local holidays and work permit delays, our service providers have received all material equipment that we were awaiting as well as the work permits for their employees.

In addition to Zion staff and the drilling crew, there are multiple 3rd party inspectors on location recertifying equipment in anticipation of raising the derrick this Sunday, May 14th.

Once the derrick is raised, Zion will continue with the rig inspection and commence acceptance testing as soon as possible.

While we are a few days delayed, and hoped to spud by May 14th, we can see the finish line and are aggressively moving forward while following our strict Health, Safety and Environmental policies.

We will continue to provide prudent updates, but wanted to make sure that you, our shareholders, were informed so that you would continue to pray for favor, wisdom, safety and success.