Zion Oil & Gas Inc (ZNOG)

[KyOil]

Moses,
I would assume the order of tasks on the lower section after TD is reached would be:

1. Run logs on wireline
2. Update 3D images with log info
3. Case/line
4. Perforate zone to test and isolate other zones
5. Flow and pressure test (the actual "test")
6. Repeat #4 and #5 for all zones to be tested
7. Update 3D images with flow/pressure info
8. Calculate reservoir characteristics
9. Define how to develop the reservoir (# wells of what type, etc)
10. Run the financial numbers, then revise step 9 and repeat until it makes sense
11. Submit data to Ministry of Energy and obtain approval

To some degree, steps can be done in parallel with each other, or partially done in advance. For instance, the reservoir was sized with 3D and MJ01 data, then updated with the MJ02 drill data, then updated again with MJ02 logs. So, step 8 does not have to start from scratch, but it does need the flow/pressure data to be completed. Also, step 9 and 10 are being worked right now too with the Ministry. They just can't be finalized until all the data is in.

The specialized liner installation would put them at step 4; don't know if its done or not. Step 5 could take about a month. Don't know how many zones they will test individually, so don't know how many times steps 4 and 5 will be repeated. Don't know if Zion will announce anything after step 5 is complete for the first zone, or even the last zone. Zion may decide to wait to announce after step 11.

So, a partial announcement could be in days/weeks, or a complete announcement still several months out.