Zion Oil & Gas Reports Second Quarter Results
Dallas, Texas and Caesarea, Israel – August 14, 2009: Zion Oil & Gas, Inc. (NYSE Amex: ZN) reported today its results for the quarter ended June 30, 2009. The company reported a net loss of $1,332,000 or $(0.12) per share for the second quarter of 2009 compared to a net loss of $1,169,000 or $(0.11) per share for the same quarter a year earlier. The company has no revenues as it is still an exploration stage company.
On release of the second quarter results, Zion’s Chief Executive Officer, Richard Rinberg, commented: “During the second quarter, Zion’s business maintained its forward momentum. We successfully concluded a rights offering with proceeds of $21 million, were notified by the Israeli Petroleum Commissioner’s office that Zion had been awarded a preliminary petroleum exploration permit with priority rights on approximately 165,000 acres onshore Israel (the ‘Issachar-Zebulun Permit Area’) and commenced drilling operations on our Ma’anit-Rehoboth #2 well (on our Joseph license area).
We are currently drilling our Ma’anit-Rehoboth #2 well and, to date, the drilling has reached a depth of approximately 17,470 feet. The planned final target for this well is approximately 18,040 feet. In addition, we have commenced preparatory work at the site of our planned next well, the Elijah #3 (on our Asher-Menashe license area).
For updates on the drilling activity please visit Zion’s website at: www.zionoil.com
Zion Oil & Gas, a Delaware corporation, explores for oil and gas in Israel in areas located on-shore between Haifa and Tel Aviv. It currently holds two petroleum exploration licenses, the Joseph and the Asher-Menashe Licenses, between Netanya, in the south, and Haifa, in the north, covering a total of approximately 162,000 acres. Zion has also been granted a permit area (the Issachar-Zebulun Permit Area) which increased Zion’s total exploration area to over 325,000 acres.
The Company’s financial statement information is summarized below:
(In thousands, except for per share income)
|
STATEMENT OF OPERATIONS |
Three months ended June 30
|
|
|
2009
|
2008
|
|
| Revenues |
– |
- |
| Total Expenses |
1,347 |
1,195 |
|
Net income (loss) |
(1,332) |
(1,169) |
| Earnings (loss) per common share – basic and diluted |
(0.12) |
(0.11) |
|
Weighted average shares issued and outstanding |
11,224 |
11,022 |
|
CASH FLOW DATA |
Six months ended June 30 |
|
|
2009 |
2008 |
|
|
Net cash (used in) operating activities |
(1,818) |
(1,929) |
|
Net cash (used in) investing activities |
(4,606) |
(816) |
|
Net cash provided by financing activities |
23,373 |
– |
|
BALANCE SHEET DATA |
June 30, 2009 |
December 31, 2008 |
|
Current Assets |
20,319 |
2,289 |
|
Total Assets |
30,272 |
7,676 |
|
Total Liabilities |
2,780 |
2,121 |
|
Total Shareholders Equity |
27,492 |
5,555 |
FORWARD LOOKING STATEMENTS: Statements in this press release that are not historical fact, including statements regarding Zion’s operations, timing and results thereof and plans contingent thereon and rights offering, are forward-looking statements as defined in the “Safe Harbor” provision 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. 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.
.
Zion’s homepage may be found at: www.zionoil.com
Contact:
Zion Oil & Gas, Inc.
6510 Abrams Rd., Suite 300
Dallas, TX 75231
Brittany Russell – tel: 214-221-4610
Email: