Replies to post #48818 on Zion Oil & Gas Inc (ZNOG)

[Moses1492]

ZNOG would never sell out for sure! NBL was the real deal and sold out to Chevron way too cheap... I still scratch my head on that inside arrangement.

[Moses1492]

KyOil not sure if you recall this article mentioning Genie confirming finding oil in the southern Golan Ness region?

https://www.haaretz.com/israel-news/business/.premium-genie-confirms-report-of-possible-big-golan-oil-find-1.5407615

In the article they mention encountering a 350 meter deep formation (10x the reservoir depth found in Saudi Arabia). How would this discovery not be financially viable for them to re-visit now given current prices? I'm curious if their lease has expired. Anyhow, ZNOG's MJ1&2 well isn't that far away (20 miles or less) and their lease runs NW even closer to the Southern Golan Ness region should their science lead them in that direction to drill in the future...

ZN may have already encountered a similar formation at similar depth if geology is mostly the same. JB mentioned the Genie discovery in a 2016 ZN press release but I'm still not sure if anyone at ZN confirmed in a podcast or pr if they found similar formations in their well bores at the 5-7k ft depth? (Genie had a smaller rig and I think they stopped drilling at 7-8k meters down)

Maybe our geologist mentioned in a podcast? You recall anything? I distinctly remember this topic being discussed and even more excited because the 300 mt porous limestone formation was also perfectly paired with a hard rock cap that would be able to serve as a perfect cap to such a formation reservoir trap. KyOil anything you can recall add greatly appreciated.

[tisdal]

KyOil, Zion may not have a choice ...

... NBL may not of had a choice either. Once the discovery is announced, in order to take full advantage of the field in a "timely" matter, Zion may have to be able to prove their ability to take advantage of the field in a "timely" matter or sell all or part of their license. They may be told to partner with other bigger names. One thing about the large gas discoveries, I do not believe that a single exploration company was in full ownership and control of their discovery. When you do some research, you find that there are three or four companies involved in the commercial realization of the discovery. I do believe that Gazprom (a Russian company) has also been engaged.

Israel's Energy Ministry may bring pressure to bear on the company. One thing is certain (and may explain why Zion has requested a new 3 year leased on their current lease), the leases surround the Megiddo Jezreel license will be hot areas of interest.

[tisdal]

KyOil, yes my brother. Exactly

Initial reservoir is modest, but adequate; like the lunch the boy brought. But the oil keeps coming; just like the whole crowd was feed

This is what we gain and can believe for with Zion Oil and Gas.

Another thought is how can MJ01 be brought into play to access what MJ02 drills into and discovers? Is it possible that MJ01, through directional drilling, be quickly made into a production well by directional redrilling MJ01's borehole from a specific point, where the original borehole is capped off, and a new directional branch drilled into the newly discovered reservoir?

Immediately after that, MJ03 can be drilled and brought on line.

While this is happening, a new 3D Data survey is conducted to discover more oil deposits and turning them into producing reservoirs? We may be less than three years from having 3 producing wells and beginning to drill MJ04 into an all new reservoir.

In the meantime, if we do have to form a strategic partnership with one of the big boys (i.e. Chevron), we would do so primarily because of their deep pockets.

That strategic partnership may end up being with a company like Gazprom in an attempt to appease Russian interest in Israel and may be why they have been allowed to participate in the world class gas discoveries off the coast.