DALLAS and CAESAREA, Israel, May 14, 2010 (GLOBE NEWSWIRE) -- Zion Oil & Gas, Inc. (Nasdaq:ZN) reported today its results for the quarter ended March 31, 2010. The company reported a net loss of $1,360,000 or $(0.07) per share for the first quarter of 2010 compared to a net loss of $916,000 or $(0.08) per share for the same quarter a year earlier. The company has no revenues as it is still an exploration stage company.
On release of the first quarter results, Zion's Chief Executive Officer Richard Rinberg commented:
"During the first quarter, Zion made good progress in a number of areas. In Caesarea, our staff began planning and permitting our next well on the Ma'anit structure. As of today, we remain on track to begin drilling the Ma'anit-Joseph #3 well in the summer of 2010. In Dallas, our staff was working on our current Rights Offering, the proceeds of which we intend to use to establish Zion Drilling, Inc. and secure permanent control of a drilling rig for our planned future operations.
"We remain excited about the possibility of recovering hydrocarbons on our license and permit areas, on-shore Israel, especially due to the U.S. Geological Survey report, published in April 2010, containing their assessment that there may be 1.7 billion barrels of recoverable undiscovered oil and 122 trillion cubic feet of recoverable gas in the Levant Basin, as all of Zion's exploration rights fall within the area of the Levant Basin."
Zion Oil & Gas, a Delaware corporation, explores for oil and gas in Israel in areas located on-shore between Haifa and Tel Aviv. It currently holds two petroleum exploration licenses, the Joseph and the Asher-Menashe Licenses, between Netanya, in the south, and Haifa, in the north, covering a total of approximately 162,000 acres and the Issachar-Zebulun Permit Area, adjacent to and to the east of Zion's Asher-Menashe license area, covering approximately 165,000 acres. Zion's total petroleum exploration rights area is approximately 327,000 acres.
The Zion Oil & Gas, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=6850
The Company's financial statement information is summarized below:
(In thousands, except for per share income)
| STATEMENT OF OPERATIONS | Three months ended | |
| March 31 | March 31 | |
| 2010 | 2009 | |
| Revenues | -- | -- |
| Total Expenses | 1,360 | 916 |
| Net Income (loss) | (1,360) | (916) |
| Earnings (loss) per common share – basic and diluted | (0.07) | (0.08) |
| Weighted avg. shares issued and outstanding – basic and diluted | 18,731 | 11,307 |
| CASH FLOW DATA | Three months ended | |
| March 31 | March 31 | |
| 2010 | 2009 | |
| Net cash (used in) operating activities | (1,683) | (1,017) |
| Net cash (used in) investing activities | (6,689) | (585) |
| Net cash provided by financing activities | (13) | -- |
| BALANCE SHEET DATA |
March 31, 2010 |
December 31, 2009 |
| Current Assets | 14,410 | 22,342 |
| Total Assets | 44,984 | 46,225 |
| Total Liabilities | 2,632 | 2,786 |
| Total Stockholders' Equity | 42,352 | 43,439 |
FORWARD LOOKING STATEMENTS: Statements in this press release that are not historical fact, including statements regarding Zion's operations, geophysical and geological data and interpretation, anticipated attributes of geological strata being drilled, drilling efforts and locations, the presence or recoverability of hydrocarbons and rights offering, are forward-looking statements as defined in the "Safe Harbor" provision 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).
Zion's homepage may be found at: www.zionoil.com