Reactivation of Sant’Andrea concession in Italy

Reactivation of Sant'Andrea concession in Italy

13 Jul 2022 14:00 CEST

July 13, 2022

ZENITH ENERGY LTD.

("Zenith" or the "Company")

Reactivation of Sant'Andrea concession in Italy

Zenith Energy Ltd. (LSE: ZEN; OSE: ZENA), the energy company with proven revenue
generating production, exploration and development assets in Africa and Europe,
is pleased to announce that it is finalising plans to reactivate the Sant'Andrea
natural gas production concession ("Sant'Andrea" or the "Concession") located in
onshore Italy, with production expected to commence in Q4 2022.

Overview of Sant'Andrea

The Concession covers 164.32 square kilometres and is located in the Veneto
region of North-Eastern Italy. It was first granted in 1992 and is due to expire
in 2027. Two wells have been drilled within the Concession, namely S. Antonio-1
and Anzano-1.

The Company plans to reactivate the S. Antonio-1 well, with an expected initial
production rate of 1,300 cubic metres of natural gas per day.

Monthly fixed production costs are expected to be approximately EUR 3,000 with
estimated net revenues of approximately EUR 40,000 to EUR 50,000 per month.

Zenith, via its Italian subsidiary, holds a 40% interest in the Concession. The
Company's partners in Sant'Andrea have communicated that they do not intend to
fund the reactivation of the Concession. Zenith will therefore receive full
entitlement to the production revenue to be received from Sant'Andrea, as well
as bearing the full costs associated with reactivation of the Concession
(approximately EUR 20,000).

Luca Benedetto, Chief Financial Officer, and Managing Director of Italian
operations, commented:

"We have embarked on a gradual strategy of optimising our Italian portfolio,
parts of which have remained dormant for some time, in the context of the
increasing necessity for European domestic energy security and a highly
encouraging pricing climate.

It is our intention to continue to assess other, potentially much larger,
opportunities for development within our Italian portfolio in the foreseeable
future."

-ENDS-

Further Information:

Zenith Energy Ltd

Andrea Cattaneo, Chief Executive Officer
Tel: +1 (587) 315 9031
E: [email protected]
BlytheRay - Financial PR/IR
Tim Blythe, Alice McLaren, Madeleine Gordon-Foxwell Tel: +44 207 138 3204
E: [email protected]

Alternative Resource Capital - Broker

Alex Wood
Keith Dowsing
Tel: +44 (0) 207 186 9004
Tel: + 44 (0) 207 186 9005

Notes to Editors:

Zenith Energy Ltd. is a revenue generating, independent energy company with
production, exploration and development assets in Tunisia, Italy and the
Republic of the Congo, including electricity generation in Italy. The Company is
listed on the London Stock Exchange Main Market (LSE: ZEN) and the Euronext
Growth of the Oslo Stock Exchange (OSE: ZENA).

Zenith's strategic focus is on pursuing transformational opportunities in Africa
and Europe through the development of proven revenue generating oil, gas and
electricity production assets, as well as low-risk exploration activities in
assets with existing production.

Market Abuse Regulation (MAR) Disclosure

The information included in this announcement is defined as inside information
pursuant to MAR article 7 and is publicly disclosed in accordance with MAR
article 17 and section 5 -12 of the Norwegian Securities Trading Act. The
announcement is made by the contact person.

More information:
Access the news on Oslo Bors NewsWeb site

566941_13.07.2022 Norway.pdf

Source

Zenith Energy Ltd

Provider

Oslo Børs Newspoint