Filed
pursuant to Rule 433
Registration
Statement No. 333-164563
TRANSCIPT
OF ZION OIL & GAS, INC.
PROMOTIONAL
VIDEO
(Video
is Viewable at http://www.youtube.com/watch?v=HGpwr0y3H0Q)
Richard Rinberg, Chief Executive
Officer Zion Oil & Gas, Inc.: Originally, when we identified that the
Ma’anit structure required a very deep well, approximately 20,00 feet, we looked
virtually world wide for a suitable rig. We identified one in Ankara,
and in fact, I flew to Ankara to look at the rig. Aladdin Middle
East, who owned the rig, agreed to refurbish the rig so that is was suitable for
our purposes. They did that; it took almost a year. That
rig was then imported into Israel on a temporary basis and drilled our most
recent well, the Ma’anit #2 well.
Bill Ottaviani, President and Chief
Operating Officer Zion Oil & Gas, Inc.: I’m Bill
Ottaviani, President and Chief Operating Officer of Zion Oil and
Gas. The United States Geological Survey has just published a report
recently that has declared substantial quantities of oil and gas in this
region. Now, why did they publish this report at this
time? Well, I believe certainly it has something to do with the
growth of the industry and the emergence of its significance in this
region.
Richard Rinberg: We recovered
some crude oil. I have that oil on my desk. My belief is
that where there is a little bit of oil there is a lot more.
Bill Ottaviani: This piece of
drilling equipment is certainly not your run of the mill
equipment. This can take us to depths that have not been reached
before in this part of Israel. It has the horsepower and the
capability to drill the type of well that we need to drill to find the oil and
the gas that we believe exists beneath the surface of the earth here in
Israel.
Richard Rinberg: We’re at a
key point now in Zion’s development. We need to answer the question,
“How are you going to drill the wells in the future?” We plan to
establish a new company, a subsidiary of Zion Oil & Gas, called Zion
Drilling. Zion’s geologists and also independent reports have
established that the hydrocarbons onshore Israel are almost certainly at a great
depth. We believe that we need to get to approximately 20,000 feet in
order to achieve success. We need to buy that rig. We need
to be able to secure it permanently in Israel in order to be able to drill well
after well after well. I have little doubt that if we drill
consistently, ultimately we will get to where we want to get to.
Bill Ottaviani: We are on the
cusp of a new frontier in the industry here in Israel. The
opportunity for discovery is endless. The potential for finding new
oil and gas reserves has never been greater. When you think
about the notion that success begets success, you would agree with me that here
in Israel is the time and place for those new discoveries to occur.
Filed
pursuant to Rule 433
Registration
Statement No. 333-164563
Richard Rinberg: We’ve
recently signed a Memorandum of Understanding (MOU) with Aladdin Middle
East.
Cetin Mumcuoglu, General Manager,
Aladdin Middle East, Ltd.: Today we entered into a different phase of
activity together with Zion. We signed a MOU to establish a joint
drilling company in Israel.
Richard Rinberg: The
Memorandum of Understanding outlines how we’re going to secure the drilling rig
on a permanent basis in Israel. Zion will pay Aladdin Middle East $7
million dollars. The drilling rig will then become the property of a
new company called Zion Drilling. Zion Drilling will be a subsidiary
of Zion Oil and Gas, 51% owned by Zion Oil & Gas and the other 49% will be
owned by Aladdin Middle East who will look after the rig on a day-to-day
basis. The main point being, that Zion will then have secured a 2,000
horsepower drilling rig in Israel on a permanent basis which will allow us to
drill to the depths that we need drill to in order to recover the hydrocarbons,
the oil and gas, that we believe is deep under Israel’s surface.
Cetin Mumcuoglu: We hope this
partnership will grow us in a short time and we will at the end we will most
possibly will see the success of discovery on land.
Bill Ottaviani: Just recently,
substantial new gas discoveries were found offshore Israel. Once we
have secured the rig that you see behind me, we will then be in a position to
essentially control our destiny, no longer bound by having to find this critical
piece of equipment. We will control it, a critical key part of
development activity here in Israel.
Richard
Rinberg: Here, I’m standing underneath the
rig. This well was drilled down to approximately 19,000 feet and the
bottom section of the well wasn’t cased and out of that uncased section, when we
were swabbing, this is a sample of crude oil. And that’s exactly what
we’re looking for. You can see it’s viscous, it’s black and it smells
very much of oil. This is physical evidence that makes us very, very
optimistic, as far as we’re concerned, that this license area is one that has
hydrocarbons ready to yield up, but again, it’s deep and therefore, we need a
rig that can drill to 20,000 feet as this rig can do.
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,
the successful establishment of the drilling subsidiary and the negotiation and
execution of definitive agreements with AME (the current owner of the drilling
rig) with respect thereto, the sufficiency of cash reserves, ability to raise
additional capital, the timing and potential results thereof and plans
contingent thereon 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.
Filed
pursuant to Rule 433
Registration
Statement No. 333-164563
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).