Understanding This New Stage for Zion Oil & Gas: Celebrating God’s Ongoing Provisions

May 15, 2023: Understanding This New Stage for Zion Oil & Gas: Celebrating God’s Ongoing Provisions

Dear Zion Shareholders and Supporters,

As we reflect on the recent months, we are grateful for the incredible progress and divine guidance that have ushered Zion Oil & Gas into a new stage of our journey. We want to take a moment to touch base and express our thankfulness for all that has happened and share with you the developments propelling us forward.

Our preparations for the re-entry of the MJ-01 well are advancing, where we believe new perforation methods can stimulate the well to flow. We also have the distinct advantage of owning our rig, a critical factor that eliminates the long wait times we experienced in the past for securing one.

We are diligently finishing our quotations for specialized coil tubing, and we plan to commence operations in the third quarter of this year and take about three months total once we’ve commenced. While we navigate the bureaucratic process involved in the application approval of our 7th license, we are heartened by our past successes and the energy ministry’s positive reception of our plans. We want to highlight that we’ve never been denied a license, and we remain confident in the success of our current application. This will not be an extension but a new license spanning seven years, a significant period for further exploration and development.

Remember that our founder, John Brown, was moved in 1981 through the Biblical prophecies given to Jacob (Genesis 49:1, 22-28) and Moses (Deuteronomy 33:13-16) to explore and find the oil of Israel. This vision, placed in his heart by God and shaped by the promise of 1 Kings 8:41-43, has guided our mission. John's unwavering faith and commitment to stand with Israel amidst challenges echo in every step we take. We take this moment to remember his vision and pledge ourselves anew to this mission.

As pioneers in our field, we have conducted the first and only commercial 3D seismic testing in Israel, contributing significantly to the state’s data collection and technology advancement. The Israeli Ministry of Energy has expressed their encouragement towards our planned operations, reinforcing our optimism about the approval of our license.

Moreover, we are thankful for entering this new phase, following the SEC's investigation, which ended without charges or enforcement action recommended against Zion Oil & Gas. This underscores our firm commitment to maintaining the highest levels of integrity and transparency in our operations.

To gain deeper insights into our recent achievements, we invite you to listen to our latest podcast episode, featuring key members of our team sharing their perspectives on our current efforts. Click Here to Listen to Podcast Ep. 19.

NEW UNIT PROGRAM:

Zion is offering a new Unit Program starting today (May 15) to June 15, 2023. Each Unit costs $250, open to both new and existing Direct Stock Purchase Plan investors.

Buying a Unit gives you shares at the day's average price and 200 $0.25 Warrants, which are exercisable from July 17, 2023, to July 17, 2024.

There's a bonus for those enrolled in our automatic monthly investments. If you buy a Unit during this period, you'll receive an extra 300 $0.25 Warrants. This offer is also open to current subscribers (refer to our Prospectus Supplement for more details).

Details:

• Units priced at $250 each, are available to new and existing Direct Stock Purchase Plan investors.
• Each Unit purchase includes shares at the day's high-low average price and 200 $0.25 Warrants.
• Warrants are exercisable on July 17, 2023 until July 17, 2024. Investors enrolled in Zion's automatic monthly investments (AMI) and purchase a Unit during the program will receive an additional 300 $0.25 Warrants. This offer is also open to current AMI subscribers.
• Unit Program starts today (May 15, 2023) and ends on June 15, 2023.
• To participate, visit https://www.zionoil.com/dspp to purchase Units electronically or download the form for postal submission.

As we enter this new stage for Zion Oil & Gas, we remain grateful for your continued support, trust, and prayers. Your encouragement plays a vital role in our endeavors, and we are confident that we are part of God's plan for Israel.

Thank you for standing with us on this journey. We look forward to sharing more updates with you as our project progresses, and we continue to give thanks for all that has been achieved.

Sincerely,
Rob Dunn
CEO, Zion Oil & Gas