Zion Oil and Gas, Inc. · OTC:ZNOG
Zion Oil and Gas — IPO Roadshow (July 2008)
35 slides from Zion Oil and Gas's IPO roadshow presentation, Jul 2, 2008
Slide 1: Oil for Israel - Zion Oil & Gas
OIL for ISRAEL Zion Oil &Gas ‘June 23, 2008
Slide 2: Last year's Ma'anit #1 well results
Last year, I stood before you to tell you about the encouraging but inconclusive results of the Ma’anit #1 well. As you can see from the flare on the slide, we saw enough gas and oil during drilling and testing to convince us that there is a strong possibility that we can obtain commercial hydrocarb
Slide 3: Exploration map and last 12 months' accomplishments
| showed you an exploration map and explained how we had developed one prospect and four leads in the Joseph Project and that investigation of the leads was to be the focus of our exploration efforts for the coming year. ‘So, what have we accomplished over the last 12 months?
Slide 4: Slide show of operations and three goals
Since a picture is worth a thousand words, | have prepared a slide show of pictures taken during our operations over the past year. Following the abandonment of the Ma‘anit #1 well, we began a comprehensive geologic and geophysical program with three goals... on ans) rr AS > |
Slide 5: First goal: evaluate Ma'anit Triassic and Permian potential
The first goal - evaluate the true potential at Ma’anit in both the Triassic and the deeper Permian section of the Paleozoic and plan the drilling of asecond appraisal/exploratory well on the prospect. The design of the well would enable us to solve the problems that prevented us from successfully t
Slide 6: Permian study and Ma'anit drilling prospect
Consequently, in late October 4 2007, Zion released its study of the deep Permian horizons on the Company's Joseph and Asher-Menashe Licenses and realizing that the Permian is shallow enough to be reached, identified a drilling prospect on the Ma'anit structure that we incorporated into the plan to
Slide 7: Argov and Khuff formation comparison
The Report noted that the late Permian Argov formation in Israel and the late Permian Khuff formation in the Persian Gulf region were of the same age and depositional environment. The Khuff formation is the main reservoir for the prolific offshore gas bearing North Field in Qatar and the South Pars
Slide 8: Ma'anit-Rehoboth #2 is a wildcat exploratory well
| should stress that the planned Ma‘anit-Rehoboth #2 well is still a ‘wild-cat’ exploratory test well and we cannot and must not assume that the gas reservoirs found in the Khuff fields of the Persian Gulf will be present in Zion's license areas. But the Permian Report certainly justifies the drilli
Slide 9: Second goal: extent of volcanic sections
Our second goal — Because of the various volcanic sections we ‘saw in the Ma’anit #1 well and that we knew existed throughout the northern Asher- Menashe license, we wanted to determine the areal extent and thickness of these volcanic intervals as they affect interpretation, drilling and completion
Slide 10: Study of area's volcanic activity
We undertook a comprehensive study of the area’s volcanic activity.
Slide 11: One of the younger volcanoes
In this pictures you can see ‘one of the younger volcanoes.
Slide 12: Magnetic and gravimetric signatures of volcanics
By looking at the magnetic and gravimetric signatures of known volcanic activity, we saw how we could apply that knowledge to the deeper horizons and differentiate between the stratigraphy of the potential reservoirs and the volcanics. ZION OIL & GAS
Slide 13: Gravity and magnetic survey from Haifa to Netanya
To fill in a gap in the data, we conducted a gravity and magnetic survey along the coast from Haifa to Netanya. You can see that not only were we gaining valuable data but also enjoying scenery during the mild part of last winter. ZION OIL & GAS
Slide 14: Gravity and magnetic anomaly maps
Using the data from the gravity and magnetic survey, the seismic survey and the country wide data base, we developed pictures of the gravity and magnetic anomalies — as shown in these slides. hon Gravity Anomaly 03.06.08
Slide 15: Data modeling conforms to seismic data
We found that good modeling of the data allows us to conform the results to the seismic data and gives us a high degree of confidence that we can map structures and much of the volcanic intervals even where seismic is impossible to obtain. ZION OIL & GAS
Slide 16: Third goal: plan ahead for the future
‘Our third goal was to plan ahead for the future. We are not a single well company — drilling the structure at Ma’anit is only the first step in a comprehensive exploration program.
Slide 17: Seismic survey in Asher-Menashe License
After months of planning, in December 2007, we commenced the field acquisition stage of a major geophysical survey in our Asher-Menashe License area, between Caesarea and Haifa. By the end of January 2008, we had successfully acquired over 50 kilometers of new seismic data. That data was then sent t
Slide 18: Vibroseis truck
This slide shows a single vibroseis truck used for transmitting sound waves into the earth to be reflected off the different layers. ZION OIL & GAS
Slide 19: Four vibroseis units working in tandem
This slide shows the four vibroseis units working in tandem to maximize the signal.
Slide 20: Signal receivers
Here is one of the receivers that pick up the signal when it returns to the surface.
Slide 21: Technician coordinating operations and recording data
In this truck is the technician who coordinates operations and records the data.
Slide 22: Seismic section interpretation
After processing the data, we have a seismic section which can be interpreted by our geologists and turned into cross sections and maps.
Slide 23: Lead upgraded to drillable prospect
The result of this work is that our geologists have now upgraded one of our leads into a drillable prospect and have selected the optimal site for Zion's first test well on its Asher-Menashe License.
Slide 24: Searching for a rig reaching 6000 meters
While the exploration staff was working on the geological and geophysical data, | was looking for a drilling rig capable of reaching 6000 meters (or 20,000 feet) as there is no rig in Israel capable of reaching that depth.
Slide 25: Aladdin Middle East rig in Ankara
Last fall, | met the representatives of Aladdin Middle East, who are here with Us today, and traveled to Ankara to see their rig, which was being rebuilt. The following slides show some before and after pictures of the rig, showing the October 2007 status and the status of the rig last week when Jer
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Slide 27: Rig October 2007 vs June 2008
October 2007 June 2008 eee TL. int > |
Slide 28: Refurbishment of the rig
Refurbishment of the rig
Slide 29: Refurbishment of the rig
Refurbishment of the rig ZION OIL & GAS
Slide 30: Refurbishment of the rig
Refurbishment of the rig
Slide 31: Refurbishment of the rig
Refurbishment of the rig
Slide 32: Long lead items inventory for next two wells
In addition to finding a suitable rig, we sourced all of the long lead items. The remaining pictures show some of the $1.7 million dollar inventory we have assembled to drill the next two wells.
Slide 33: Zion Oil & Gas
ZION OIL & GAS
Slide 34: Slide 34
Slide 35: Notice
NOTICE: Zion Oil & Gas has filed a registration statement (including a prospectus) with the SEC for the offering of its securities. Before you invest, you should read the prospectus in that registration statement and other documents Zion has filed with the SEC for more complete information about Zio