Zion Oil & Gas, Inc. (ZNOGW)
For informational purposes only. Not financial advice. Analysis by Sedat Aydin, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Zion Oil & Gas, Inc. (ZNOGW) with AI Score 51/100 (Hold). Zion Oil & Gas, Inc. is an oil and gas exploration company focused on onshore Israel. The company holds a petroleum exploration license, the New Megiddo License 434, covering approximately 75,000 acres. Market cap: 0, Sector: Energy.
Last analyzed: Mar 17, 2026Zion Oil & Gas, Inc. (ZNOGW) Energy Operations & Outlook
Zion Oil & Gas, Inc. is an oil and gas exploration company operating in Israel, holding the New Megiddo License. With a focus on onshore exploration, the company navigates the energy sector with a relatively small team and high profit margins, albeit trading on the OTC market.
Investment Thesis
Zion Oil & Gas presents a unique investment proposition within the oil and gas sector, primarily due to its exclusive focus on exploration within Israel. The company's New Megiddo License 434 is the core asset, and its value is directly tied to the potential discovery of commercially viable oil and gas reserves. With a market capitalization of $5.73 billion and a P/E ratio of -81.17, the company's valuation reflects both the high-risk nature of exploration and the potential for significant upside. A key growth catalyst is the successful drilling and testing of wells within the license area, which could lead to a substantial increase in the company's value. However, the company faces risks associated with exploration, regulatory hurdles, and the inherent volatility of the oil and gas market.
Based on FMP financials and quantitative analysis
Key Highlights
- Market Cap of $5.73B reflects investor sentiment regarding the potential of the New Megiddo License.
- Profit Margin of 341.9% indicates either high efficiency or specific accounting treatments related to exploration expenses.
- Gross Margin of 142.0% suggests a strong ability to control costs relative to revenue.
- Beta of 0.45 indicates lower volatility compared to the broader market, potentially due to its unique operational focus.
- The company operates with a small team of 19 employees, suggesting a lean operational structure.
Competitors & Peers
Strengths
- Exclusive petroleum exploration license in Israel.
- High profit margin (341.9%) and gross margin (142.0%).
- Low beta (0.45) indicating lower volatility.
- Lean operational structure with a small team.
Weaknesses
- Dependence on successful exploration results.
- Limited diversification in terms of geographic focus and business activities.
- Trades on the OTC market, which can result in lower liquidity and higher volatility.
- Negative P/E ratio (-81.17) indicating a lack of profitability.
Catalysts
- Upcoming: Results from ongoing drilling and testing of wells within the New Megiddo License.
- Ongoing: Potential for new discoveries of oil and gas reserves in Israel.
- Ongoing: Geopolitical developments in the Middle East impacting oil and gas exploration.
Risks
- Potential: Unsuccessful exploration results and failure to discover commercially viable reserves.
- Potential: Geopolitical instability in the Middle East.
- Potential: Regulatory hurdles and environmental regulations.
- Ongoing: Fluctuations in global oil prices.
- Ongoing: Limited liquidity due to trading on the OTC market.
Growth Opportunities
- Successful Exploration Results: The primary growth opportunity for Zion Oil & Gas lies in the successful discovery and extraction of commercially viable oil and gas reserves within its New Megiddo License 434. Positive drilling results and proven reserves could significantly increase the company's value and attract further investment. The timeline for this growth driver is dependent on the company's drilling schedule and the results of its exploration efforts. The market size is potentially substantial, given the global demand for oil and gas, but the company faces competition from other exploration companies and the inherent risks of exploration.
- Expansion of Licensed Area: Zion Oil & Gas could pursue growth by expanding its licensed area within Israel. Acquiring additional exploration licenses would provide the company with more opportunities to discover and develop oil and gas reserves. The timeline for this growth driver depends on the availability of new licenses and the company's ability to secure them. The market size is limited by the geographic boundaries of Israel, but the potential for significant discoveries remains. Competition for new licenses is likely to be intense, given the interest in oil and gas exploration in the region.
- Strategic Partnerships: Forming strategic partnerships with larger oil and gas companies could provide Zion Oil & Gas with access to capital, technology, and expertise. These partnerships could accelerate the company's exploration efforts and increase its chances of success. The timeline for this growth driver is dependent on the company's ability to attract and negotiate partnerships. The market size is potentially substantial, given the resources and capabilities of larger oil and gas companies. However, the company may face challenges in finding suitable partners and negotiating favorable terms.
- Technological Advancements: Investing in advanced exploration technologies could improve Zion Oil & Gas's ability to identify and extract oil and gas reserves. These technologies could include seismic imaging, advanced drilling techniques, and enhanced oil recovery methods. The timeline for this growth driver depends on the company's ability to adopt and implement new technologies. The market size is potentially substantial, given the ongoing advancements in exploration technology. However, the company may face challenges in accessing and affording these technologies.
- Geopolitical Stability: Increased geopolitical stability in the region could create a more favorable environment for oil and gas exploration and development. Reduced political risk could attract more investment and facilitate the company's operations. The timeline for this growth driver is uncertain, as it depends on geopolitical events. The market size is potentially substantial, given the interest in oil and gas exploration in the region. However, the company has no control over geopolitical events and must adapt to changing circumstances.
Opportunities
- Expansion of licensed area within Israel.
- Formation of strategic partnerships with larger oil and gas companies.
- Adoption of advanced exploration technologies.
- Increased geopolitical stability in the region.
Threats
- Unsuccessful exploration results.
- Geopolitical instability in the region.
- Regulatory hurdles and environmental regulations.
- Fluctuations in global oil prices.
Competitive Advantages
- Exclusive petroleum exploration license for the New Megiddo License 434 in Israel.
- Specialized knowledge and expertise in exploring for oil and gas in the specific geological conditions of Israel.
- Established relationships with local stakeholders and regulatory authorities in Israel.
About ZNOGW
Zion Oil & Gas, Inc. was founded in 2000 and is based in Dallas, Texas. The company is dedicated to exploring for oil and gas within Israel, specifically holding the New Megiddo License 434. This license encompasses approximately 75,000 acres (302 square kilometers) onshore Israel. The company's operations are focused on identifying and extracting hydrocarbon resources within this area. Zion Oil & Gas operates with a relatively small team of 19 employees, reflecting a lean operational structure. Despite its size, the company has reported significant profit margins, indicating potential efficiency or specific accounting treatments. The company's focus remains on exploration, and its success is tied to the potential discovery and extraction of commercially viable oil and gas reserves within its licensed area. The company trades on the OTC market, which presents both opportunities and challenges in terms of liquidity and regulatory oversight.
What They Do
- Explores for oil and gas in Israel.
- Holds a petroleum exploration license for the New Megiddo License 434.
- Conducts geological surveys and seismic testing to identify potential drilling locations.
- Drills exploratory wells to assess the presence and viability of oil and gas reserves.
- Seeks to develop and produce oil and gas resources if commercially viable reserves are discovered.
- Manages a team of employees focused on exploration activities.
Business Model
- Acquires and manages petroleum exploration licenses.
- Raises capital through equity offerings to fund exploration activities.
- Conducts exploration activities to discover commercially viable oil and gas reserves.
- Potentially generates revenue through the sale of extracted oil and gas.
Industry Context
Zion Oil & Gas operates within the oil and gas exploration industry, a sector characterized by high capital expenditure, technological advancements, and regulatory complexities. The industry is subject to global oil prices, geopolitical factors, and environmental regulations. Zion Oil & Gas distinguishes itself by focusing exclusively on exploration in Israel, a region with its own unique geopolitical and regulatory landscape. The company competes with larger, more diversified oil and gas companies, but its niche focus allows it to potentially capitalize on specific geological opportunities within its licensed area. The industry is currently navigating a transition towards renewable energy, but the demand for oil and gas remains significant, particularly in developing economies.
Key Customers
- Potentially oil refineries and distributors if commercially viable reserves are discovered.
- Investors who provide capital for exploration activities.
- Service providers involved in drilling and exploration.
Financials
Chart & Info
Zion Oil & Gas, Inc. (ZNOGW) stock price: Price data unavailable
Latest News
No recent news available for ZNOGW.
Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for ZNOGW.
Price Targets
Wall Street price target analysis for ZNOGW.
MoonshotScore
What does this score mean?
The MoonshotScore rates ZNOGW's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Competitors & Peers
Leadership: Robert William-A. Dunn
CEO
Robert William-A. Dunn serves as the CEO of Zion Oil & Gas, Inc. His background includes experience in managing teams and overseeing operations within the energy sector. His leadership is focused on guiding the company's exploration efforts in Israel and maximizing the potential of the New Megiddo License. Dunn's expertise is crucial in navigating the complex regulatory and operational challenges associated with oil and gas exploration in the region. His strategic decisions are aimed at increasing shareholder value through successful discoveries and efficient resource management.
Track Record: Under Robert William-A. Dunn's leadership, Zion Oil & Gas has continued to focus on its exploration activities in Israel. Key milestones include the ongoing drilling and testing of wells within the New Megiddo License. His tenure has been marked by efforts to secure funding for exploration activities and to manage the company's operational costs effectively. The company's success is contingent on the discovery of commercially viable oil and gas reserves.
ZNOGW OTC Market Information
The OTC Other tier represents the lowest tier of the OTC market, indicating that Zion Oil & Gas may not meet the minimum financial standards or disclosure requirements for higher tiers like OTCQX or OTCQB. Companies in this tier may have limited financial information available to the public, and trading activity can be sporadic. Investing in companies on the OTC Other tier carries a higher degree of risk compared to those listed on major exchanges like the NYSE or NASDAQ, due to the potential for less stringent regulatory oversight and lower liquidity.
- OTC Tier: OTC Other
- Disclosure Status: Unknown
- Limited financial disclosure and regulatory oversight.
- Lower trading volume and liquidity.
- Potential for wider bid-ask spreads.
- Higher price volatility.
- Increased risk of fraud or manipulation.
- Verify the company's registration and legal status.
- Review available financial statements and disclosures.
- Assess the company's management team and track record.
- Understand the company's business model and competitive landscape.
- Evaluate the company's risk factors and potential liabilities.
- Monitor trading volume and price activity.
- Consult with a financial advisor.
- Established history of operations since 2000.
- Holding a petroleum exploration license in Israel.
- Presence of a CEO and management team.
- Publicly traded status, even on the OTC market.
- Focus on a specific industry and geographic area.
Zion Oil & Gas, Inc. Stock: Key Questions Answered
What does Zion Oil & Gas, Inc. do?
Zion Oil & Gas, Inc. is an oil and gas exploration company focused on exploring for oil and gas within Israel. The company's primary asset is the New Megiddo License 434, which covers approximately 75,000 acres onshore Israel. Zion Oil & Gas conducts geological surveys, seismic testing, and exploratory drilling to assess the potential for commercially viable oil and gas reserves. The company's success is dependent on the discovery and extraction of these resources, and it operates within the regulatory and geopolitical landscape of Israel.
What do analysts say about ZNOGW stock?
As an OTC-listed company with limited analyst coverage, there is no readily available consensus view on ZNOGW stock. The company's valuation is largely driven by the potential of its New Megiddo License and the inherent risks associated with oil and gas exploration. Investors should conduct their own due diligence and consider the company's financial condition, operational activities, and the broader market conditions before making any investment decisions. The speculative nature of exploration companies should be carefully considered.
What are the main risks for ZNOGW?
The main risks for Zion Oil & Gas, Inc. include the inherent uncertainty of oil and gas exploration, geopolitical instability in the Middle East, regulatory hurdles, and fluctuations in global oil prices. The company's success is contingent on discovering commercially viable reserves, and unsuccessful exploration efforts could significantly impact its financial condition. Geopolitical events in the region could disrupt operations or increase political risk. Regulatory changes and environmental regulations could also pose challenges. Additionally, the company's stock trades on the OTC market, which can result in lower liquidity and higher volatility.
What are the key factors to evaluate for ZNOGW?
Zion Oil & Gas, Inc. (ZNOGW) currently holds an AI score of 51/100, indicating moderate score. Key strength: Exclusive petroleum exploration license in Israel.. Primary risk to monitor: Potential: Unsuccessful exploration results and failure to discover commercially viable reserves.. This is not financial advice.
How frequently does ZNOGW data refresh on this page?
ZNOGW prices update in real time during U.S. market hours (9:30 AM-4:00 PM ET, weekdays). Fundamentals refresh after quarterly or annual filings. Analyst ratings and AI insights update daily. News is aggregated continuously from financial sources.
What has driven ZNOGW's recent stock price performance?
Recent price movement in Zion Oil & Gas, Inc. (ZNOGW) can be influenced by earnings results, analyst revisions, sector rotation, and broader market sentiment. Notable catalyst: Exclusive petroleum exploration license in Israel.. Check the News and Technical Analysis tabs for the latest drivers. Past performance does not predict future results.
Should investors consider ZNOGW overvalued or undervalued right now?
Determining whether Zion Oil & Gas, Inc. (ZNOGW) is overvalued or undervalued requires examining multiple metrics. Compare valuation ratios (P/E, P/S, EV/EBITDA) against sector peers for a comprehensive view.
What research should beginners do before buying ZNOGW?
Before investing in Zion Oil & Gas, Inc. (ZNOGW), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Information is based on publicly available sources and may be subject to change.
- OTC market data may be less reliable than data from major exchanges.
- AI analysis pending for ZNOGW.