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| 8-K - ZION OIL & GAS INC | v167288_8k.htm |
Zion Oil
& Gas Newsletter
November
20, 2009
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Dear
Shareholder and/or Friend of Zion...
Left
to Right:
Jerry
Carlisle (Drilling Supervisor), John Brown,
Elisha
Roih (retired), Jonathan Carmeli (Site Foreman)
This
week, in Caesarea, John Brown, Zion's Founder and Chairman of the Board
celebrated his 70th birthday. Best wishes and congratulations to John on
reaching this milestone.
With
regard to operations, here is this week's update.
The Ma'anit-Rehoboth #2
Well
This past
week, on Thursday, we welcomed Petroleum Engineer John McKenney to Israel. He
has arrived to review the completion procedures planned for the Ma'anit-Rehoboth
#2 well. John has nearly 40 years experience in Oil & Gas. He has worked for
many well-known petroleum companies, including Arco International, Phillips
Petroleum, Schlumberger, Tesco Drilling and Triton Engineering. He has also
consulted for many other companies, including Murphy Oil, Ocean Energy and Shell
Oil.
We
drilled the Ma'anit-Rehoboth #2 well to a depth of 17,913 feet (5,460 meters)
and soon intend to carry out completion operations on the seven zones that
warrant completion testing.
Four of
the zones are in the upper (Triassic) part of the hole (and were seen in the
Ma'anit #1 well) and three of the zones are in the deeper hole (drilled in the
Ma'anit-Rehoboth #2 well).
Operations
at the Elijah #3
Drilling Operations on the
Elijah #3 Well
Last week
I noted that we had cased the well from the surface down to 3,461 feet (1,055
meters), connected the BOP (Blow Out Preventer) and continued
drilling.
This past
week, drilling progress has been excellent - on three separate days, we drilled
over 100 meters per day, exceeding our expectations.
Since
Thursday, November 19 we have been drilling very hard formation (Lower
Cretaceous Tayasir Volcanics) with a PDC bit (averaging 5 meters per hour
penetration).
Very
soon, we expect to be drilling in Upper Jurassic carbonates.
As of
today, Friday, November 20, 2009, we have drilled to a depth of approximately
4,840 feet (1,475 meters) and are 'ahead of schedule'.
Rights
Offering
Our
rights offering began last month and you should have received your package (or
email) containing the documentation.
If your
stock is held by you in certificate form and you haven't received any package or
email from us, please contact us at the number shown below.
If your
stock is held in a brokerage account, you should have received electronic
notification. If you haven't, please contact your broker for help.
In the
rights offering, a maximum of 3.6 million shares of common stock are being
offered at $5.00 for each share of stock. Should the rights offering be fully
subscribed, Zion will receive gross proceeds of $18 million.
Under the
rights offering, stockholders have the right to purchase twenty three (23)
shares of stock for every one hundred (100) shares of common stock owned on the
record date. This is identical to 0.23 subscription rights for each
share of common stock owned on the record date.
If you
were among the many hundreds of our stockholders who did not receive as many
$5.00 shares as you subscribed for in the earlier rights offering, this is your
'second chance' opportunity. This offer is open to everyone who was a
stockholder of record on October 19, 2009.
The
scheduled termination date for the rights offering is November 30, 2009 but we
may elect to terminate the offering prior to the scheduled expiration date by
giving two business days notice. Please note that Zion may also elect to extend
the rights offering beyond November 30, 2009.
We have
posted on the Investor Center section of the Zion website some Frequently Asked
Questions (and answers). Please click here to visit the Investor
Center.
"In
your good pleasure, make Zion prosper..."
Psalm
51:18
Thank you
for your support of Zion and Shalom from Israel
Richard
Rinberg
CEO of
Zion Oil & Gas, Inc.
www.zionoil.com
FORWARD LOOKING STATEMENTS: Statements
in this communication that are not historical fact, including statements
regarding Zion's planned operations, geophysical and geological data and
interpretation, anticipated attributes of geological strata being drilled,
drilling efforts and locations, the presence or recoverability of hydrocarbons,
timing and potential results thereof and plans contingent thereon and rights
offering are forward-looking statements as defined in the "Safe Harbor"
provisions 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.
NOTICE: Zion Oil & Gas, Inc. has
filed a registration statement (including a prospectus) with the SEC for the
offering to which this communication relates. Before you invest, you should read
the prospectus in that registration statement and other documents the issuer has
filed with the SEC for more complete information about Zion Oil & Gas and
its offering. You may get these documents for free by visiting EDGAR on the SEC
website at www.sec.gov. Alternatively, Zion Oil & Gas will send you the
prospectus if you request it by calling toll free 1-888-TX1-ZION
(1-888-891-9466).
Quick
Links...
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Contact
Information
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
More
information about Zion is available at www.zionoil.com or by contacting Michael
Williams at Zion Oil & Gas, Inc., 6510 Abrams Rd., Suite 300, Dallas, TX
75231; telephone 1-214-221-4610; email: dallas@zionoil.com