REG - Zenith Energy Ltd - Update on sale of ZEN-260 drilling rig

Zenith EnergyAnnouncement

25/11/2025 08:30

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20251125:nRSY9025Ia&default-theme=true

RNS Number : 9025I  Zenith Energy Ltd  25 November 2025

November 25, 2025

 

ZENITH ENERGY LTD.

("Zenith" or the "Company")

Update on sale of ZEN-260 drilling rig

Zenith Energy Ltd. ("Zenith" or the "Company") (LSE: ZEN; OSE: ZENA; XSAT:
ZENA SDR), the listed international energy production and development company,
is pleased to provide an update regarding the sale of its fully owned ZEN-260
onshore drilling rig ("ZEN-260").

Background

The Company acquired the ZEN-260 in September 2018 for use in its drilling
operations in the Republic of Azerbaijan. The ZEN-260 is a 1,200 hp mechanical
IDECO rig equipped with a TDS-350 BOWEN top drive system. Following the
termination of activities in Azerbaijan, the Company had planned to deploy the
ZEN-260 for drilling operations in Africa, specifically in the Republic of
Tunisia, after the various acquisitions announced during 2020 and 2021.

For reasons that were not explained by the Tunisian authorities, the
importation application for the ZEN-260 into Tunisia, made by one of the
Company's fully owned subsidiaries, was denied.

Offers

The Company is currently finalising negotiations for the sale of the ZEN-260,
having received two separate offers from prospective buyers valued at
approximately US$2 million.

Zenith expects to complete the sale and receive payment by the end of 2025.

Andrea Cattaneo, Chief Executive Officer, commented:

"Following our exit from Azerbaijan, our plan was to deploy the ZEN-260 in
Tunisia, where the newly acquired oil production licences offered significant
development and exploration potential and were ready for drilling.

As our investors are aware, history took a different course, and the
importation of the ZEN-260 into Tunisia was rejected by the Tunisian
authorities.

As a result, and as previously announced, this now-legacy equipment was put up
for sale and is currently being divested to provide additional working capital
for the Company. The sale will further strengthen our cash position, as well
as provide additional capital for our ongoing business development activities
in Italy."

 

Further Information:

 Zenith Energy Ltd

 Andrea Cattaneo, Chief Executive Officer

                                            Tel: +1 (587) 315 1279

                                            E: info@zenithenergy.ca

 

Notes to Editors:

Zenith Energy Ltd. is a revenue generating, independent energy company with
energy production, exploration and development assets in North Africa, the US
and Europe. The Company is listed on the London Stock Exchange Main Market
(LSE: ZEN), the Euronext Growth of the Oslo Stock Exchange (OSE: ZENA) and on
the Spotlight Stock Market in Sweden (XSAT: ZENA SDR).

Zenith's strategic focus is on pursuing development opportunities through the
development of proven revenue generating energy production assets, as well as
low-risk exploration activities in assets with existing production.

For more information, please visit: www.zenithenergy.ca

Twitter: @zenithenergyltd

LinkedIn: https://bit.ly/3A5PRJb (https://bit.ly/3A5PRJb)

 
Market Abuse Regulation (MAR) Disclosure

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK domestic law by virtue of
the European Union (Withdrawal) Act 2018 ("MAR"). Upon the publication of
this announcement via a Regulatory Information Service ("RIS"), this inside
information is now considered to be in the public domain.

 

 

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  UPDGIBDBSDDDGUU



            Copyright 2019 Regulatory News Service, all rights reserved