Zenith Energy has received formal confirmation regarding the successful completion of the Inquiry of Public Utility (Enquête d'Utilité Publique) ("IPU"), following an in-depth technical and financial review, performed by the Ministry of Hydrocarbons of the Republic of the Congo during the month of January 2021.

Map source: Zenith Energy

The Company will now proceed with the potential finalisation and ratification of the Production Sharing Contract ("PSC") for Tilapia II.

Andrea Cattaneo, Chief Executive Officer of Zenith, commented:
"We are delighted to have received this additional positive confirmation from the Ministry of Hydrocarbons which demonstrates our successful establishment in the Republic of the Congo, where we intend to develop the potentially transformational Tilapia oilfield, as well as constituting a clear recognition of our technical and financial capabilities.

The significant strengthening in oil prices and the gradually improving outlook in relation to the Covid-19 pandemic have given us further confidence in pursuing various potential acquisition opportunities of additional oil and gas production assets, specifically those formerly operated by oil majors. We view the present as a singular time of opportunity to implement this strategy as oil majors restructure their portfolios by disposing of smaller assets.

I look forward to updating the market in due course on further progress. We are systematically delivering on our publicly announced objectives and I thank shareholders for their support."

Licence Area Highlights

• Located in the Lower Republic of the Congo Basin, West African Atlantic Margin, extending from Gabon down to Angola, a prolific hydrocarbon region.
• 50 km square kilometres, mainly offshore (less than 10m depth) – drilled from onshore
• In close proximity to oil storage /processing infrastructure located in the nearby town of Pointe-Noire.

KeyFacts Energy: Zenith Energy Republic of the Congo country profile