Press Release: December 7 – Zion Oil & Gas Launches New Unit Program
Zion Oil & Gas Announces Launch of New Unit Program
DALLAS and CAESAREA, Israel, December 7, 2018 – Zion Oil & Gas, Inc. (NASDAQ: ZN) announces that it is making available a new unit offering under its continuing Dividend Reinvestment and Common Stock Purchase Plan (“DSPP”) in its going forward plans as outlined in the November 29th, 2018 press release.
The vision of Zion Oil & Gas remains to help Israel become energy independent, and in doing so, use Zion’s projects as a platform to share the gospel of Jesus Christ worldwide.
That vision has not changed, and Zion now believes it is prudent and consistent with good industry practice to try and answer the questions that were presented with the drilling and testing of the Megiddo-Jezreel #1 (MJ#1) well with a focused 3D seismic imaging shoot of approximately 50 square kilometers surrounding the MJ#1 well.
As previously noted in the November 29th press release, if undertaken, this will not be a short-term exploratory project with immediate results. A realistic timeframe in which Zion can reasonably expect to complete this project would be six to twelve months following a successful capital raise.
This includes time to plan the survey design and surface layout and to obtain the necessary seismic source equipment and wireless geophones (to record the signal) if possible, which will likely have to be imported.
Acquiring the necessary government permits will be time-consuming as will the process of negotiating potential surface damages to crops, irrigation piping, and other surface features. Data acquisition and interpretation are the final steps and involve integration with, and modification of, previous work by Zion technical staff.
The proceeds of the unit offering are planned to be used as shown below.
Zion recognizes the financial and time commitment that Zion’s shareholders have made in supporting Zion’s vision and its need for additional funding to undertake these efforts. As noted, there are a number of questions Zion believes need to be further explored. While there is no guarantee that these exploration efforts will lead to commercial success, Zion takes its responsibility to its shareholders very seriously.
“GOING FORWARD” UNIT PROGRAM
- 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 shares of ZN common stock and 250 $0.01 Warrants.
- Warrants are exercisable on the 31stday following the end of Unit Program and exercisable for one year (February 25, 2019, to February 25, 2020).
- If investors sign up for Zion’s automatic monthly investments in addition to purchasing a Unit during this Unit program, then they will receive 50 $0.01 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, see Zion’s Prospectus Supplement on page 4.)
- Investors may participate starting Monday, December 10, 2018.
- This Unit Program will end on Wednesday, January 23, 2019, or when $10 million is reached, whichever transpires first.
- This Unit Program is available through Zion’s website. Investors may go to https://www.zionoil.com/dspp to purchase electronically online or to print and mail their investment.
Zion expresses appreciation for the continued support of their shareholders and considers it an honor to represent them.
Zion Oil & Gas, Inc. has filed a registration statement (including a prospectus) with the SEC for the unit program under the DSPP to which this communication relates. The prospectus in that registration statement and other documents the issuer has filed with the SEC may be obtained for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, the Company will arrange to send any inquirer the prospectus, if requested by calling toll free 888-891-9466. Direct links to the SEC location, or to the documents in PDF, may be found on the home page of Zion Oil & Gas. Inc., at www.zionoil.com.