Zion Completes Field Acquisition in Asher-Menashe Seismic Survey

Zion Oil & Gas, Inc. of Dallas, Texas and Caesarea, Israel, has successfully completed the field acquisition stage of its geophysical survey in its Asher-Menashe License area between Caesarea and Haifa, Israel.

Zion has completed the acquisition of 7 new lines of seismic data covering approximately 52 kilometers (32 miles). The survey was conducted on two of the prospective areas in the Asher-Menashe License – one in the Ramot Menashe hills where 4 lines (approximately 33 kilometers) of data were acquired. The other 3 lines (approximately 19 kilometers) were shot on the coastal plain and in the Carmel mountain valley known as Nahal Me’arot, east of the coastal town and Crusader fortress of Atlit. Related magnetic and gravimetric data were also collected.

Glen Perry, Zion’s president and chief operating officer, said that a review of the raw data indicated that the quality of the lines was very good. He gave much of the credit to Ernie Ayers, president of Radix Inc., Ft. Davis, Texas, who supervised field operations for Zion and to the professionalism of the seismic crews of the Geophysical Institute of Israel. One of the new seismic lines has been tied to the deep Asher-Atlit #1 well, drilled in the early 1980s. The Asher-Atlit #1 well, in which a Triassic reef 2,500 feet thick was encountered, is key to interpreting Zion’s nearby Nahal Me’arot lead.

The raw seismic data is now being taken to Ft. Davis, Texas for processing by Radix, Inc. using advanced computer systems. Radix is also reprocessing eight additional lines (totaling approximately 90 kilometers) of seismic data, overlapping Zion’s seven new lines, to develop an integrated picture of the Ramot Menashe and Nahal Me’arot areas. All the processing should be completed by mid-March 2008.

Mr. Perry commented that the combination of the new and reprocessed data (more than 140 kilometers of seismic lines) should enable Zion’s geologists to better define two promising exploration leads, upgrade those leads to drillable prospects and select the optimal site for Zion’s first test well on its Asher-Menashe License.