Today's Devotional

King of the Sunrise
How are you declaring the glory of God in your life?

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Zion Oil and Gas, Inc. - The Joseph Project Part 1

We explore for oil and gas in Israel. At this time, our principal assets are petroleum rights issued by the Ministry of National Infrastructures of the State of Israel, specifically two onshore exploration licenses covering approximately 162,000 acres located between Tel-Aviv and Haifa as further described in The Joseph Project Summary below. We have named the project to explore the license areas the "Joseph Project."

We hold 100% of the working interest in our licenses, which means we are responsible for 100% of the costs of exploration and, if established, production. Our net revenue interest is 87.5%, which means we would receive 87.5% of the gross proceeds from the sale of oil and gas produced from lands subject to the licenses (and any leases granted following a declaration of a discovery thereon), if there is any commercial production. The 12.5% we don't receive is a royalty reserved by the State of Israel. Other than its 12.5% royalty, the government has no right of participation in any portion of our project. No royalty would be payable to any landowner with respect to production from our license areas as the State of Israel owns all the mineral rights. In the event commercial production is established, we will be setting aside a royalty (or equivalent net profits interest) after payout of 6% for charitable foundations we intend to establish. In addition, we intend to establish an employee incentive pool of up to 1.5%. This means that our effective net revenue interest after payout will be no less than 80%, subject to our maintaining a 100% working interest in our licenses.