Zion Oil & Gas Operations Update from Israel as of October 3, 2022

October 3, 2022
Update: MJ02 In Israel

Dear Zion Supporters and Shareholders,

As we enter the Jewish holiday season, we are encouraged by the results of our recent testing operations, particularly with respect to the lower of two prospective zones we perforated near the final drilled depth of the well.

This lower zone, which is approximately twenty (20) meters in thickness, is our primary zone of interest.

Although we are encouraged, more work remains to be done, and we have no assurance the zone will produce hydrocarbons in commercial quantities or whether the well ultimately will prove to be successful.

We are currently facing a downhole obstacle in the form of heavy water influx from the upper zone inhibiting the potential flow from the lower zone. After consultation with outside experts, we plan to isolate and neutralize the heavy water influx by procuring a 4 1/2 inch packer and installing it below the heavy water zone and above our primary zone, but we have no assurance this procedure will be successful.

Following the annual operational hiatus for the next few weeks of Jewish holidays, we plan to begin operations to install the packer and test the flow rate of our primary zone.

We will continue to provide updates in accordance with good corporate practices and all legal requirements when we have definitive, material news.

We continually give thanks to God and our loyal shareholders and supporters who make all of this possible.

Sincerely,

Rob Dunn
CEO