Delaware
|
20-0065053
|
(State
or other jurisdiction of incorporation or
|
(I.R.S.
Employer Identification No.)
|
organization)
|
6510
Abrams Rd., Suite 300
|
|
Dallas,
Texas
|
75231
|
(Address
of principal executive offices)
|
Zip
Code
|
Large
accelerated filer ¨
|
Accelerated
filer x
|
Non-accelerated
filer ¨ (Do not check if
a smaller reporting company)
|
Smaller
reporting company ¨
|
Page
|
|
Item
1 - Financial Statements – Unaudited
|
1
|
|
|
Balance
Sheets - September 30, 2011 and December 31,
2010
|
2
|
|
|
Statements
of Operations for the three and nine months ended September 30, 2011 and
2010 and the period from April 6, 2000 (inception) to September 30,
2011
|
3
|
|
|
Statements
of Changes in Stockholders' Equity for the nine months
ended September 30, 2011 and the period from April
6, 2000 (inception) to September 30, 2011
|
4
|
|
|
Statements
of Cash Flows for the nine months
ended September 30, 2011 and 2010 and the period
from April 6, 2000 (inception) to September 30, 2011
|
15
|
|
|
Notes
to Unaudited Interim Financial Statements
|
17
|
|
|
Item
2 - Management's Discussion and Analysis of Financial Condition and
Results of Operations
|
36
|
Item
3 – Quantitative and Qualitative Disclosures About Market
Risk
|
43
|
|
|
Item
4 - Controls and Procedures
|
43
|
|
|
PART
II — OTHER INFORMATION
|
|
|
|
Item
1 – Legal Proceedings
|
44
|
Item
A – Risk Factors
|
44
|
Item
2 - Unregistered Sales of Equity Securities and Use of
Proceeds
|
44
|
|
|
Item
3 - Defaults upon Senior Securities
|
44
|
|
|
Item
4 – (Removed and Reserved)
|
44
|
Item
5 - Other Information
|
44
|
|
|
Item
6 – Exhibits
|
44
|
|
|
SIGNATURES
|
46
|
Balance Sheets as
of
|
September 30
|
December 31
|
|||||||
2011
|
2010
|
|||||||
US$ thousands
|
US$ thousands
|
|||||||
Current
assets
|
||||||||
Cash
and cash equivalents
|
24,909 | 21,243 | ||||||
Short
term bank deposits
|
274 | 250 | ||||||
Prepaid
expenses and other
|
63 | 876 | ||||||
Refundable
value-added tax
|
752 | 801 | ||||||
Total
current assets
|
25,998 | 23,170 | ||||||
Unproved
oil and gas properties, full cost method (see Note 2A)
|
3,324 | 25,882 | ||||||
Property
and equipment at cost
|
||||||||
Net
of accumulated depreciation of $148,000 and $116,000
|
227 | 159 | ||||||
Other
assets
|
||||||||
Assets
held for severance benefits
|
133 | 92 | ||||||
Total
assets
|
29,682 | 49,303 | ||||||
Liabilities
and Stockholders’ Equity
|
||||||||
Current
liabilities
|
||||||||
Accounts
payable
|
252 | 388 | ||||||
Asset
retirement obligation
|
870 | 50 | ||||||
Accrued
liabilities
|
3,050 | 2,136 | ||||||
Deferred
officers compensation
|
- | 21 | ||||||
Total
current liabilities
|
4,172 | 2,595 | ||||||
Provision
for severance pay
|
422 | 339 | ||||||
Total
liabilities
|
4,594 | 2,934 | ||||||
Commitments
and contingencies (see Note 5)
|
||||||||
Stockholders’
equity
|
||||||||
Common stock, par value
$.01; Authorized:
|
||||||||
September
30, 2011 - 100,000,000; December 31, 2010 – 50,000,000 Issued and
outstanding:
|
||||||||
September
30, 2011 – 30,426,454; December 31, 2010 - 24,867,218
shares
|
304 | 248 | ||||||
Additional
paid-in capital
|
130,248 | 102,608 | ||||||
Deficit
accumulated in development stage
|
(105,464 | ) | (56,487 | ) | ||||
Total
stockholders’ equity
|
25,088 | 46,369 | ||||||
Total
liabilities and stockholders' equity
|
29,682 | 49,303 |
Statements of
Operations
|
Period
from
|
||||||||||||||||||||
April
6, 2000
|
||||||||||||||||||||
For
the three month period
|
For
the nine month period
|
(inception)
to
|
||||||||||||||||||
ended
September 30
|
ended
September 30
|
September
30
|
||||||||||||||||||
2011
|
2010
|
2011
|
2010
|
2011
|
||||||||||||||||
US$
thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
||||||||||||||||
Revenues
|
- | - | - | - | - | |||||||||||||||
General
and administrative expenses
|
||||||||||||||||||||
Legal
and professional
|
260 | 138 | 840 | 633 | 7,690 | |||||||||||||||
Salaries
|
592 | 651 | 2,657 | 2,090 | 13,118 | |||||||||||||||
Other
|
1,204 | 746 | 2,963 | 1,591 | 10,327 | |||||||||||||||
Impairment
of unproved oil and gas properties
|
42,488 | - | 42,488 | 22,022 | 74,004 | |||||||||||||||
Loss
from operations
|
(44,544 | ) | (1,535 | ) | (48,948 | ) | (26,336 | ) | (105,139 | ) | ||||||||||
Other
expense, net
|
||||||||||||||||||||
Termination
of initial public offering
|
- | - | - | - | (527 | ) | ||||||||||||||
Other
income, net
|
- | - | - | - | 80 | |||||||||||||||
Interest
income (expenses), net
|
(102 | ) | 102 | (29 | ) | 17 | 122 | |||||||||||||
Loss
before income taxes
|
(44,646 | ) | (1,433 | ) | (48,977 | ) | (26,319 | ) | (105,464 | ) | ||||||||||
Income
taxes
|
- | - | - | - | - | |||||||||||||||
Net
loss
|
(44,646 | ) | (1,433 | ) | (48,977 | ) | (26,319 | ) | (105,464 | ) | ||||||||||
Net
loss per share of common stock - basic and diluted (in
US$)
|
(1.52 | ) | (0.06 | ) | (1.81 | ) | (1.22 | ) | (8.45 | ) | ||||||||||
Weighted-average
shares outstanding – basic and diluted (in thousands)
|
*29,315 | *22,914 | *27,110 | *21,522 | *12,478 |
Statement
of Changes in Stockholders'
Equity
|
Deficit
|
||||||||||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||||||||||
Preferred Stock
|
Common Stock
|
paid-in
|
in development
|
|||||||||||||||||||||||||
Shares
|
Amount
|
Shares
|
Amount
|
capital
|
stage
|
Total
|
||||||||||||||||||||||
Thousands
|
US$
thousands
|
Thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
||||||||||||||||||||||
Balances
at April 6, 2000
|
- | - | - | - | - | - | - | |||||||||||||||||||||
Issued
for cash ($0.001 per share)
|
- | - | 2,400 | * - | 2 | - | 2 | |||||||||||||||||||||
Issuance
of shares and warrants in a private offering ($1 per
share)
|
- | - | 100 | * - | 100 | - | 100 | |||||||||||||||||||||
Costs
associated with the issuance of shares
|
- | - | - | - | (24 | ) | - | (24 | ) | |||||||||||||||||||
Waived
interest on conversion of debt
|
- | - | - | - | * - | - | * - | |||||||||||||||||||||
Value
of warrants granted to employees
|
- | - | - | - | 2 | - | 2 | |||||||||||||||||||||
Net
loss
|
- | - | - | - | - | (5 | ) | (5 | ) | |||||||||||||||||||
Balances
as of December 31, 2000
|
- | - | 2,500 | * - | 80 | (5 | ) | 75 | ||||||||||||||||||||
Issuance
of shares and warrants in a private offering in January 2001 ($1 per
share)
|
- | - | 135 | * - | 135 | - | 135 | |||||||||||||||||||||
Issuance
of shares and warrants in a private offering which closed in September
2001 ($1 per share)
|
- | - | 125 | * - | 125 | - | 125 | |||||||||||||||||||||
Payment
of accounts payable through issuance of shares and
warrants
|
- | - | 40 | * - | 40 | - | 40 | |||||||||||||||||||||
Payment
of note payable through issuance of shares and warrants
|
- | - | 25 | * - | 25 | - | 25 | |||||||||||||||||||||
Issuance
of shares and warrants in a private offering which closed in November 2001
($1 per share)
|
- | - | 175 | * - | 175 | - | 175 | |||||||||||||||||||||
Costs
associated with the issuance of shares
|
- | - | - | - | (85 | ) | - | (85 | ) | |||||||||||||||||||
Waived
interest on conversion of debt
|
- | - | - | - | 1 | - | 1 | |||||||||||||||||||||
Value
of warrants granted to employees
|
- | - | - | - | 37 | - | 37 | |||||||||||||||||||||
Value
of warrants granted to directors and consultants
|
- | - | - | - | 3 | - | 3 | |||||||||||||||||||||
Net
loss
|
- | - | - | - | - | (207 | ) | (207 | ) | |||||||||||||||||||
Balances
as of December 31, 2001
|
- | - | 3,000 | * - | 536 | (212 | ) | 324 |
Statement
of Changes in Stockholders' Equity
(cont’d)
|
Deficit
|
||||||||||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||||||||||
Preferred Stock
|
Common Stock
|
paid-in
|
in development
|
|||||||||||||||||||||||||
Shares
|
Amount
|
Shares
|
Amount
|
capital
|
stage
|
Total
|
||||||||||||||||||||||
Thousands
|
US$ thousands
|
Thousands
|
US$ thousands
|
US$ thousands
|
US$ thousands
|
US$ thousands
|
||||||||||||||||||||||
Change
in par value of common shares from $ 0.0001 per share to $0.01 per
share
|
- | - | - | 30 | (30 | ) | - | - | ||||||||||||||||||||
Issuance
of shares and warrants in a private offering which closed in January 2002
($1 per share)
|
- | - | 20 | * - | 20 | - | 20 | |||||||||||||||||||||
Issuance
of shares and warrants in a private offering which closed in November 2002
($10 per share)
|
25 | * - | 22 | * - | 254 | - | 254 | |||||||||||||||||||||
Payment
of accounts payable through issuance of preferred shares and
warrants
|
13 | * - | - | - | 127 | - | 127 | |||||||||||||||||||||
Payment
of accounts payable through issuance of common shares and
warrants
|
- | - | 111 | 1 | 131 | - | 132 | |||||||||||||||||||||
Payment
of note payable through issuance of shares and warrants
|
5 | * - | - | - | 50 | - | 50 | |||||||||||||||||||||
Payment
of accounts payable to employee through issuance of shares upon exercise
of warrants
|
- | - | 400 | 4 | 76 | - | 80 | |||||||||||||||||||||
Costs
associated with the issuance of shares
|
- | - | - | - | (160 | ) | - | (160 | ) | |||||||||||||||||||
Waived
interest on conversion of debt
|
- | - | - | - | 3 | - | 3 | |||||||||||||||||||||
Deferred
financing costs on debt conversions / modifications
|
- | - | - | - | 21 | - | 21 | |||||||||||||||||||||
Value
of warrants granted to employees
|
- | - | - | - | 1 | - | 1 | |||||||||||||||||||||
Value
of warrants granted to directors and consultants
|
- | - | - | - | 13 | - | 13 | |||||||||||||||||||||
Net
loss
|
- | - | - | - | - | (403 | ) | (403 | ) | |||||||||||||||||||
Balances
as of December 31, 2002
|
43 | * - | 3,553 | 35 | 1,042 | (615 | ) | 462 |
Statement of Changes in Stockholders' Equity
(cont’d)
|
Deficit
|
||||||||||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||||||||||
Preferred
Stock
|
Common
Stock
|
paid-in
|
in
development
|
|||||||||||||||||||||||||
Shares
|
Amount
|
Shares
|
Amount
|
capital
|
stage
|
Total
|
||||||||||||||||||||||
Thousands
|
US$
thousands
|
Thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
||||||||||||||||||||||
Issuance
of shares in connection with executive employment
|
- | - | 50 | 1 | 49 | - | 50 | |||||||||||||||||||||
Issuance
of share on warrants exercise
|
- | - | 165 | 2 | 31 | - | 33 | |||||||||||||||||||||
Issuance
of dividend shares to record holders as of December
31,2002
|
4 | * - | - | - | * - | - | - | |||||||||||||||||||||
Issuance
of shares and warrants in a private offering which closed in February 2003
($10 per share):
|
||||||||||||||||||||||||||||
for
cash consideration
|
10 | * - | - | - | 105 | - | 105 | |||||||||||||||||||||
for
reduction of accounts payable
|
5 | * - | - | - | 45 | - | 45 | |||||||||||||||||||||
Issuance
of shares and warrants as compensation for extension of $100,000 line of
credit
|
1 | * - | - | - | 10 | - | 10 | |||||||||||||||||||||
Payment
of account payable through issuance of shares and warrants
|
* - | * - | - | - | 1 | - | 1 | |||||||||||||||||||||
Conversion
of preferred shares to common shares in reincorporation
merger
|
(63 | ) | * - | 763 | 7 | (7 | ) | - | - | |||||||||||||||||||
Issuance
of shares in a private offering which closed in July 2003 ($3 per
share):
|
||||||||||||||||||||||||||||
for
cash consideration
|
- | - | 33 | * - | 99 | - | 99 | |||||||||||||||||||||
for
reduction of accounts payable
|
- | - | 3 | * - | 9 | - | 9 | |||||||||||||||||||||
Issuance
of shares upon exercise of warrants:
|
||||||||||||||||||||||||||||
for
cash consideration
|
- | - | 25 | * - | 25 | - | 25 | |||||||||||||||||||||
for
reduction of accounts payable
|
- | - | 124 | 1 | 142 | - | 143 | |||||||||||||||||||||
Issuance
of shares upon exercise of warrants for cash consideration
|
- | - | 63 | 1 | 82 | - | 83 | |||||||||||||||||||||
Payment
of account payable through issuance of shares
|
- | - | 80 | 1 | 139 | - | 140 | |||||||||||||||||||||
Costs
associated with the issuance of shares
|
- | - | - | - | (58 | ) | - | (58 | ) | |||||||||||||||||||
Value
of warrants granted to employees
|
- | - | - | - | 47 | - | 47 | |||||||||||||||||||||
Deferred
financing costs on debt conversions / modifications
|
- | - | - | - | (10 | ) | - | (10 | ) | |||||||||||||||||||
Net
loss
|
- | - | - | - | - | (873 | ) | (873 | ) | |||||||||||||||||||
Balances
as of December 31, 2003
|
- | - | 4,859 | 48 | 1,751 | (1,488 | ) | 311 |
|
·
|
Represents
an amount less than US$ 1,000
|
|
·
|
The accompanying notes are an
integral part of the interim financial
statements.
|
Statement of Changes in Stockholders' Equity
(cont’d)
|
Deficit
|
||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||
Common
Stock
|
paid-in
|
in
development
|
||||||||||||||||||
Shares
|
Amounts
|
capital
|
stage
|
Total
|
||||||||||||||||
Thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
||||||||||||||||
Issuance
of shares on warrants exercise
|
123 | 1 | 183 | - | 184 | |||||||||||||||
Issuance
of shares and warrants in a private offering
|
251 | 3 | 1,002 | - | 1,005 | |||||||||||||||
Payment
of officer salaries through issuance of shares and
warrants
|
46 | 1 | 184 | - | 185 | |||||||||||||||
Payment
of accounts payable to officers and consultants upon exercise of
warrants
|
80 | 1 | 99 | - | 100 | |||||||||||||||
Payment
of director honorariums through issuance of shares and
warrants
|
11 | * - | 45 | - | 45 | |||||||||||||||
Payment
of account payable through issuance of shares and warrants
|
13 | * - | 50 | - | 50 | |||||||||||||||
Payment
of bridge loan through issuance of shares and warrants
|
125 | 1 | 499 | - | 500 | |||||||||||||||
Payment
of bridge loan interest and commitment fee through issuance of shares and
warrants
|
8 | * - | 30 | - | 30 | |||||||||||||||
Payment
of bridge loan finders fee through issuance of shares and
warrants
|
2 | * - | 7 | - | 7 | |||||||||||||||
Payment
of service bonus through issuance of shares and warrants
|
20 | * - | 20 | - | 20 | |||||||||||||||
Costs
associated with the issuance of shares
|
- | - | (59 | ) | - | (59 | ) | |||||||||||||
Value
of warrants granted to employees
|
- | - | 41 | - | 41 | |||||||||||||||
Deferred
financing costs on debt conversions / modifications
|
- | - | 30 | - | 30 | |||||||||||||||
Net
loss
|
- | - | - | (1,737 | ) | (1,737 | ) | |||||||||||||
Balances
as of December 31, 2004
|
5,538 | 55 | 3,882 | (3,225 | ) | 712 |
Statement of Changes in Stockholders' Equity
(cont’d)
|
Deficit
|
||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||
Common
Stock
|
paid-in
|
in
development
|
||||||||||||||||||
Shares
|
Amounts
|
capital
|
stage
|
Total
|
||||||||||||||||
Thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
||||||||||||||||
Issuance
of shares on warrants exercised:
|
||||||||||||||||||||
For
cash
|
493 | 5 | 872 | - | 877 | |||||||||||||||
For
payment of deferred officer salaries
|
17 | * - | 21 | - | 21 | |||||||||||||||
For
exchange of shares of common stock
|
120 | 1 | (1 | ) | - | - | ||||||||||||||
Issuance
of shares and warrants in a private offering that closed in March
2005:
|
||||||||||||||||||||
For
cash
|
519 | 5 | 2,070 | - | 2,075 | |||||||||||||||
For
payment of deferred officer salaries
|
10 | * - | 40 | - | 40 | |||||||||||||||
For
payment of accounts payable
|
6 | * - | 25 | - | 25 | |||||||||||||||
Issuance
of shares and warrants in a private offering that closed in June
2005:
|
||||||||||||||||||||
For
cash
|
259 | 3 | 1,292 | - | 1,295 | |||||||||||||||
For
payment of directors honoraria
|
14 | * - | 70 | - | 70 | |||||||||||||||
For
payment of accounts payable
|
3 | * - | 15 | - | 15 | |||||||||||||||
Issuance
of shares in a private offering that closed in October
2005:
|
||||||||||||||||||||
For
cash
|
584 | 6 | 2,914 | - | 2,920 | |||||||||||||||
For
payment of deferred officer salaries
|
40 | * - | 200 | - | 200 | |||||||||||||||
For
payment of accounts payable
|
22 | * - | 110 | - | 110 | |||||||||||||||
Issuance
of shares in a private offering that closed in December
2005
|
80 | 1 | 439 | - | 440 | |||||||||||||||
Shares
to be issued for services provided by director
|
- | - | 42 | - | 42 | |||||||||||||||
Value
of warrants and options granted to employees
|
- | - | 216 | - | 216 | |||||||||||||||
Value
of warrants granted to directors and consultants
|
- | - | 16 | - | 16 | |||||||||||||||
Deferred
financing costs on debt conversions /modifications
|
- | - | 44 | - | 44 | |||||||||||||||
Costs
associated with the issuance of shares
|
- | - | (275 | ) | - | (275 | ) | |||||||||||||
Net
loss
|
- | - | - | (1,605 | ) | (1,605 | ) | |||||||||||||
Balances
as of December 31, 2005
|
7,705 | 76 | 11,992 | (4,830 | ) | 7,238 |
Statement of Changes in Stockholders' Equity
(cont’d)
|
Deficit
|
||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||
Common Stock
|
paid-in
|
in development
|
||||||||||||||||||
Shares
|
Amounts
|
capital
|
stage
|
Total
|
||||||||||||||||
Thousands
|
US$ thousands
|
US$ thousands
|
US$ thousands
|
US$ thousands
|
||||||||||||||||
Issuance
of shares on warrants exercised:
|
||||||||||||||||||||
For
cash
|
253 | 3 | 1,151 | - | 1,154 | |||||||||||||||
For
debt
|
60 | 1 | 276 | - | 277 | |||||||||||||||
Issuance
of shares and warrants in private offering closings in first quarter
2006:
|
||||||||||||||||||||
For
cash
|
66 | 1 | 362 | - | 363 | |||||||||||||||
For
payment of accounts Payable
|
3 | * - | 14 | - | 14 | |||||||||||||||
Shares
issued for services provided by officer
|
200 | 2 | 248 | - | 250 | |||||||||||||||
Issuance
of shares and warrants in a private offering that closed in September 2006
for cash
|
23 | * - | 126 | - | 126 | |||||||||||||||
Value
of options granted to employees
|
- | - | 162 | - | 162 | |||||||||||||||
Value
of warrants granted to underwriter
|
- | - | 20 | - | 20 | |||||||||||||||
Value
of shares gifted to directors, employees and service
providers
|
- | - | 147 | - | 147 | |||||||||||||||
Costs
associated with the issuance of shares
|
- | - | (681 | ) | - | (681 | ) | |||||||||||||
Funds
received from public offering for subscription shares:
|
||||||||||||||||||||
For
cash
|
410 | 4 | 2,867 | - | 2,871 | |||||||||||||||
For
debt
|
27 | * - | 188 | - | 188 | |||||||||||||||
Net
loss
|
- | - | - | (2,510 | ) | (2,510 | ) | |||||||||||||
Balances
as of December 31, 2006
|
8,747 | 87 | 16,872 | (7,340 | ) | 9,619 |
Statement of Changes in Stockholders' Equity
(cont’d)
|
Deficit
|
||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||
Common Stock
|
paid-in
|
in development
|
||||||||||||||||||
Shares
|
Amounts
|
capital
|
stage
|
Total
|
||||||||||||||||
Thousands
|
US$ thousands
|
US$ thousands
|
US$ thousands
|
US$ thousands
|
||||||||||||||||
Funds
received from public offering
for subscription shares:
|
||||||||||||||||||||
For
cash
|
1,336 | 14 | 9,338 | - | 9,352 | |||||||||||||||
For
debt
|
33 | * - | 235 | - | 235 | |||||||||||||||
Compensation
in respect of shares previously issued for services provided by
officer
|
- | - | 208 | - | 208 | |||||||||||||||
Value
of options granted to employees
|
- | - | 337 | - | 337 | |||||||||||||||
Value
of warrants granted to underwriter
|
- | - | 79 | - | 79 | |||||||||||||||
Value
of shares granted to employees
|
5 | *- | 25 | - | 25 | |||||||||||||||
Value
of shares gifted to employees
|
- | - | 7 | - | 7 | |||||||||||||||
Costs
associated with the issuance of shares
|
- | - | (1,027 | ) | - | (1,027 | ) | |||||||||||||
Net
loss
|
- | - | - | (13,047 | ) | (13,047 | ) | |||||||||||||
Balances
as of December 31, 2007
|
10,121 | 101 | 26,074 | (20,387 | ) | 5,788 |
Statement of Changes in Stockholders' Equity
(cont’d)
|
Deficit
|
||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||
Common
Stock
|
paid-in
|
in
development
|
||||||||||||||||||
Shares
|
Amounts
|
capital
|
stage
|
Total
|
||||||||||||||||
Thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
||||||||||||||||
Funds
received from Unit Offering for subscription shares:
|
||||||||||||||||||||
For
cash
|
405 | 4 | 4,040 | - | 4,044 | |||||||||||||||
For
debt
|
12 | *- | 120 | - | 120 | |||||||||||||||
Value
of warrants granted to employees
|
- | - | 266 | - | 266 | |||||||||||||||
Value
of options granted to directors and consultants
|
- | - | 44 | - | 44 | |||||||||||||||
Value
of shares granted to employees
|
4 | *- | 25 | - | 25 | |||||||||||||||
Value
of shares gifted to employees
|
- | - | 101 | - | 101 | |||||||||||||||
Costs
associated with the issuance of shares
|
- | - | (815 | ) | - | (815 | ) | |||||||||||||
Net
loss
|
- | - | - | (4,018 | ) | (4,018 | ) | |||||||||||||
Balances
as of December 31, 2008
|
10,542 | 105 | 29,855 | (24,405 | ) | 5,555 |
Statement of Changes in Stockholders' Equity
(cont’d)
|
Deficit
|
||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||
Common Stock
|
paid-in
|
in development
|
||||||||||||||||||
Shares
|
Amounts
|
capital
|
stage
|
Total
|
||||||||||||||||
Thousands
|
US$ thousands
|
US$ thousands
|
US$ thousands
|
US$ thousands
|
||||||||||||||||
Funds
received from Unit Offering for subscription shares:
|
||||||||||||||||||||
For
cash
|
237 | 3 | 2,370 | - | 2,373 | |||||||||||||||
For
debt
|
13 | *- | 126 | - | 126 | |||||||||||||||
Funds
received from Rights Offering
|
4,200 | 42 | 20,958 | - | 21,000 | |||||||||||||||
Funds
received from Second Rights Offering
|
3,600 | 36 | 17,964 | - | 18,000 | |||||||||||||||
Funds
received from warrant exercises
|
59 | 1 | 414 | - | 415 | |||||||||||||||
Underwriter
warrants exercised in cashless exercise
|
13 | - | - | - | - | |||||||||||||||
Director
warrants and options exercised in cashless exercises
|
37 | - | - | - | - | |||||||||||||||
Value
of options granted to employees
|
- | - | 494 | - | 494 | |||||||||||||||
Value
of options granted to directors and consultants
|
- | - | 328 | - | 328 | |||||||||||||||
Value
of shares granted to consultants for services
|
5 | *- | 46 | - | 46 | |||||||||||||||
Value
of shares gifted to employees
|
- | - | 4 | - | 4 | |||||||||||||||
Costs
associated with the issuance of shares
|
- | - | (478 | ) | - | (478 | ) | |||||||||||||
Net
loss
|
- | - | - | (4,424 | ) | (4,424 | ) | |||||||||||||
Balances
as of December 31, 2009
|
18,706 | 187 | 72,081 | (28,829 | ) | 43,439 |
Statement of Changes in Stockholders' Equity
(cont’d)
|
Deficit
|
||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||
Common
Stock
|
paid-in
|
in
development
|
||||||||||||||||||
Shares
|
Amounts
|
capital
|
stage
|
Total
|
||||||||||||||||
Thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
US$
thousands
|
||||||||||||||||
Funds
received from warrant exercises
|
*- | *- | 3 | - | 3 | |||||||||||||||
Funds
received from option exercises
|
44 | *- | *- | - | *- | |||||||||||||||
Funds
received from the Third Rights Offering
|
2,471 | 25 | 12,331 | - | 12,356 | |||||||||||||||
Funds
received from the Fourth Rights Offering
|
3,643 | 36 | 18,178 | - | 18,214 | |||||||||||||||
Value
of shares granted to consultants for services
|
3 | *- | 15 | - | 15 | |||||||||||||||
Value
of options granted to employees
|
- | - | 479 | - | 479 | |||||||||||||||
Costs
associated with the issuance of shares
|
- | - | (479 | ) | - | (479 | ) | |||||||||||||
Net
loss
|
- | - | - | (27,658 | ) | (27,658 | ) | |||||||||||||
Balances
as of December 31, 2010
|
24,867 | 248 | 102,608 | (56,487 | ) | 46,369 |
Statement of Changes in Stockholders' Equity
(cont’d)
|
Deficit
|
||||||||||||||||||||
Additional
|
accumulated
|
|||||||||||||||||||
Common Stock
|
paid-in
|
in development
|
||||||||||||||||||
Shares
|
Amounts
|
capital
|
stage
|
Total
|
||||||||||||||||
Thousands
|
US$ thousands
|
US$ thousands
|
US$ thousands
|
US$ thousands
|
||||||||||||||||
Funds
received from warrant exercises
|
450 | 5 | 1,798 | - | 1,803 | |||||||||||||||
Funds
received from option exercises
|
194 | 2 | - | - | 2 | |||||||||||||||
Funds
received from the Fifth Rights Offering
|
4,915 | 49 | 24,528 | - | 24,577 | |||||||||||||||
Value
of options granted to employees
|
- | - | 1,562 | - | 1,562 | |||||||||||||||
Costs
associated with the issuance of shares
|
- | - | (248 | ) | - | (248 | ) | |||||||||||||
Net
loss
|
- | - | - | (48,977 | ) | (48,977 | ) | |||||||||||||
Balances
as of September 30, 2011
|
30,426 | 304 | 130,248 | (105,464 | ) | 25,088 |
Statements of Cash
Flows
|
Period
from
|
||||||||||||
April
6, 2000
|
||||||||||||
For
the nine month
|
(inception)
to
|
|||||||||||
period
ended September 30
|
September
30,
|
|||||||||||
2011
|
2010
|
2011
|
||||||||||
US$
thousands
|
US$
thousands
|
US$
thousands
|
||||||||||
Cash
flows from operating activities
|
||||||||||||
Net
loss
|
(48,977 | ) | (26,319 | ) | (105,464 | ) | ||||||
Adjustments
required to reconcile net loss to net cash used in operating
activities:
|
||||||||||||
Depreciation
|
32 | 24 | 154 | |||||||||
Officer,
director and other fees, paid via common stock
|
- | 15 | 2,330 | |||||||||
Cost
of warrants issued to employees, directors & others
|
1,212 | 553 | 3.797 | |||||||||
Interest
in short term bank deposits
|
(11 | ) | - | (11 | ) | |||||||
Interest
paid through issuance of common stock
|
- | - | 17 | |||||||||
Write-off
of costs associated with public offering
|
- | - | 507 | |||||||||
Loss
on disposal of equipment
|
- | - | 4 | |||||||||
Impairment
of unproved oil and gas properties
|
42,488 | 22,022 | 74,004 | |||||||||
Asset
retirement obligation
|
240 | - | 290 | |||||||||
Change
in assets and liabilities, net:
|
||||||||||||
Decrease
in inventories
|
- | - | 150 | |||||||||
Prepaid
expenses and other
|
813 | (53 | ) | (63 | ) | |||||||
Increase
in deferred offering costs
|
- | (26 | ) | - | ||||||||
Change
in refundable value-added tax
|
49 | 424 | (752 | ) | ||||||||
Severance
pay, net
|
42 | 98 | 289 | |||||||||
Accounts
payable
|
(136 | ) | 1,591 | 900 | ||||||||
Accrued
liabilities, net
|
94 | (1,237 | ) | 2,230 | ||||||||
Increase
(decrease) in deferred officers' compensation (net)
|
(21 | ) | (383 | ) | 240 | |||||||
Net
cash used in operating activities
|
(4,175 | ) | (3,291 | ) | (21,378 | ) | ||||||
Cash
flows from investing activities
|
||||||||||||
Investment
in short term bank deposits
|
(13 | ) | - | (263 | ) | |||||||
Acquisition
of property and equipment
|
(100 | ) | (104 | ) | (383 | ) | ||||||
Investment
in unproved oil and gas properties
|
(18,180 | ) | (17,800 | ) | (75,728 | ) | ||||||
Net
cash used in investing activities
|
(18,293 | ) | (17,904 | ) | (76,374 | ) | ||||||
Cash
flows from financing activities
|
||||||||||||
Deferred
financing costs on debt conversions and modification
|
- | - | 89 | |||||||||
Loan
proceeds – related party
|
- | - | 259 | |||||||||
Loan
principal repayments – related party
|
- | - | (259 | ) | ||||||||
Loan
proceeds – other
|
- | - | 500 | |||||||||
Proceeds
from sale and exercise of stock and warrants
|
26,382 | 12,356 | 126,562 | |||||||||
Costs
associated with the issuance of stock and warrants
|
(248 | ) | (213 | ) | (4,490 | ) | ||||||
Net
cash provided by financing activities
|
26,134 | 12,143 | 122,661 | |||||||||
Net
increase (decrease) in cash and cash equivalents
|
3,666 | (9,052 | ) | 24,909 | ||||||||
Cash
and cash equivalents – beginning of period
|
21,243 | 20,734 | - | |||||||||
Cash
and cash equivalents– end of period
|
24,909 | 11,682 | 24,909 |
Statement of Cash Flows
(cont'd)
|
Period
from
|
||||||||||||
April
6, 2000
|
||||||||||||
For
the nine month
|
(inception)
to
|
|||||||||||
period
ended September 30
|
September
30,
|
|||||||||||
2011
|
2010
|
2011
|
||||||||||
US$
thousands
|
US$
thousands
|
US$
thousands
|
||||||||||
Supplemental
information
|
||||||||||||
Cash
paid for interest
|
- | 14 | 78 | |||||||||
Cash
paid for income taxes
|
- | - | - | |||||||||
Non-cash
investing and financing activities:
|
||||||||||||
Payment
of accounts payable through issuance of common stock
|
- | - | 575 | |||||||||
Payment
of accounts payable through issuance of note payable
|
- | - | 35 | |||||||||
Financing
costs paid through issuance of common stock
|
- | - | 25 | |||||||||
Increase
in accounts payable for financing costs
|
- | - | 382 | |||||||||
Waived
interest on debt conversions
|
- | - | 4 | |||||||||
Shares
issued for debt conversion
|
- | - | 940 | |||||||||
Value
of warrants and options granted to directors and
consultants
|
- | - | 405 | |||||||||
Value
of warrants and options granted to employees
|
- | - | 1,544 | |||||||||
Value
of warrants granted to underwriters
|
- | - | 99 | |||||||||
Value
of shares gifted to directors, employees and service
providers
|
- | - | 259 | |||||||||
Deferred
financing costs
|
- | - | 85 | |||||||||
Cost
of options granted to employees attributed to Oil & Gas
properties
|
350 | - | 350 | |||||||||
Investment
in Oil &Gas properties
|
1,400 | - | 1,400 |
|
A.
|
Nature of
Operations
|
|
A.
|
Nature of
Operations (cont'd)
|
|
A.
|
Nature of
Operations (cont'd)
|
|
A.
|
Nature of
Operations (cont'd)
|
|
B.
|
Basis
of Presentation
|
|
A.
|
Oil
and Gas Properties and Impairment
|
|
A.
|
Oil and Gas Properties and
Impairment (cont’d)
|
|
A.
|
Oil and Gas Properties and
Impairment (cont'd)
|
September 30
2011
|
December 31
2010
|
|||||||
US$ thousands
|
US$ thousands
|
|||||||
Excluded
from amortization base:
|
||||||||
Drilling
operations, completion costs and other related costs
|
1,205 | 20,383 | ||||||
Capitalized
salary costs
|
187 | 883 | ||||||
Legal
costs, license fees and other preparation costs
|
1,932 | 2,694 | ||||||
Other
costs
|
- | 1,922 | ||||||
3,324 | 25,882 |
Nine
month
period
ended
September
30, 2011
|
Year
ended
December
31, 2010
|
Period
from April
6, 2000
(inception)
to
September
30, 2011
|
||||||||||
US$
thousands
|
US$
thousands
|
US$
thousands
|
||||||||||
Drilling
operations, completion costs and other related costs
|
35,934 | 20,419 | 64,312 | |||||||||
Capitalized
salary costs
|
2,500 | 620 | 3,803 | |||||||||
Legal
costs, license fees and other preparation costs
|
26 | - | 535 | |||||||||
Other
costs
|
4,028 | 983 | 5,354 | |||||||||
42,488 | 22,022 | 74,004 |
|
B.
|
Net Loss per Share
Data
|
|
C.
|
Recently Adopted Accounting
Pronouncements
|
A.
|
Authorized
Common Shares
|
|
B.
|
Fifth Rights
Offering
|
|
C.
|
2005
Stock Option Plan and the 2011 Equity Incentive Plan and the 2011
Non-Employee Directors Stock Option
Plan
|
|
D.
|
Fair Value of Warrants and
Options
|
Exercise
|
Number
of
|
Expiration
|
Warrants
or
|
||||||||
price
|
Shares
|
Date
|
Options
|
||||||||
US$
|
|||||||||||
To
non-employees
|
|||||||||||
8.25 | 58,000 |
June
16, 2012
|
Options
|
||||||||
2.50 | 25,000 |
December
31, 2014
|
Options
|
||||||||
To
employees and directors
|
|||||||||||
8.25 | 42,000 |
June
16, 2012
|
Options
|
||||||||
7.15 | 12,000 |
December
31, 2014
|
Options
|
||||||||
0.01 | 10,000 |
December
3, 2017
|
Options
|
||||||||
0.01 | 30,266 |
January
31, 2020
|
Options
|
||||||||
4.45 | 25,000 |
January
26, 2016
|
Options
|
||||||||
0.01 | 15,000 |
January
31, 2016
|
Options
|
||||||||
2.50 | 359,500 |
December
31, 2014
|
Options
|
||||||||
4.92 | 25,000 |
August
30, 2014
|
Options
|
||||||||
To
investors
|
|||||||||||
3.50 | 9,829,860 |
August
15, 2012
|
Warrants
|
||||||||
4.00 | 3,295,122 |
December
31, 2012
|
Warrants
|
||||||||
7.00 | 505,079 |
January
31, 2012
|
Warrants
|
||||||||
3.75 | * | 14,231,827 |
D.
|
Fair Value of
Warrants and Options (Cont'd)
|
Weighted
Average
|
||||||||
Number of shares
|
exercise price
|
|||||||
US$
|
||||||||
Changes
from April 6, 2000 (inception) to December 31, 2008 to:
|
||||||||
Employees,
officers and directors as part compensation
|
1,884,818 | 1.76 | ||||||
Underwriters
(in connection with IPO)
|
46,621 | 8.75 | ||||||
Private
placement investors and others
|
1,105,492 | 2.84 | ||||||
Investors
in Follow On Public Offering
|
416,404 | 7.00 | ||||||
Expired/Cancelled/Forfeited
|
(705,684 | ) | 2.61 | |||||
Exercised
|
(1,984,077 | ) | 1.59 | |||||
Outstanding,
December 31, 2008
|
763,574 | 5.81 | ||||||
Changes
during 2009 to:
|
||||||||
Employees,
officers and directors as part compensation
|
202,000 | 6.55 | ||||||
Investors
in Follow On Public Offering
|
249,939 | 7.00 | ||||||
Expired/Cancelled/Forfeited
|
(40,000 | ) | 5.22 | |||||
Exercised
|
(180,810 | ) | 6.62 | |||||
Outstanding,
December 31, 2009
|
994,703 | 6.14 | ||||||
Changes
during 2010 to:
|
||||||||
Employees,
officers and directors
|
106,415 | 2.49 | ||||||
Investors
in Fourth Rights Offering
|
3,642,821 | 4.00 | ||||||
Expired/Cancelled/Forfeited
|
(161,917 | ) | 6.21 | |||||
Exercised
|
(44,357 | ) | 0.08 | |||||
Outstanding,
December 31, 2010
|
4,537,665 | 6.14 | ||||||
Changes
to:
|
||||||||
Employees,
officers and directors
|
534,101 | 2.27 | ||||||
Investors
in Fifth Rights Offering
|
9,830,698 | 3.50 | ||||||
Expired/Cancelled/Forfeited
|
(26,750 | ) | 7.48 | |||||
Exercised
|
(643,887 | ) | 2.80 | |||||
Outstanding,
September 30, 2011
|
14,231,827 | 3.75 | ||||||
Exercisable,
September 30, 2011
|
13,824,827 | 3.79 |
|
D.
|
Fair Value of
Warrants and Options (Cont'd)
|
Shares underlying outstanding
|
Shares underlying outstanding
|
|||||||||||||||||||||||||||
warrants and options (non vested)
|
warrants and options (all fully vested)
|
|||||||||||||||||||||||||||
Weighted
|
Weighted
|
|||||||||||||||||||||||||||
average
|
Weighted |
average
|
Weighted
|
|||||||||||||||||||||||||
remaining
|
Average
|
Range of
|
remaining
|
Average
|
||||||||||||||||||||||||
Range of
|
Number
|
contractual
|
Exercise
|
exercise
|
Number
|
contractual
|
exercise
|
|||||||||||||||||||||
exercise price
|
outstanding
|
life (years)
|
price
|
price
|
Outstanding
|
Life (years)
|
price
|
|||||||||||||||||||||
US$
|
US$
|
US$
|
US$
|
|||||||||||||||||||||||||
0.01
|
10,000 | 6.18 | 0.01 | - | - | - | - | |||||||||||||||||||||
0.01
|
5,000 | 8.34 | 0.01 | 0.01 | 21,516 | 8.34 | 0.01 | |||||||||||||||||||||
4.55
|
3,750 | 4.34 | 0.01 | 0.01 | 11,250 | 4.34 | 4.55 | |||||||||||||||||||||
0.01
|
3,750 | 8.34 | 0.01 | 7.00 | 505,079 | 0.34 | 7.00 | |||||||||||||||||||||
-
|
- | - | - | 4.00 | 3,295,122 | 1.25 | 4.00 | |||||||||||||||||||||
-
|
- | - | - | 3.50 | 9,829,860 | 0.88 | 3.50 | |||||||||||||||||||||
-
|
- | - | - | 7.15 | 12,000 | 3.25 | 7.15 | |||||||||||||||||||||
-
|
- | - | - | 4.45 | 25,000 | 4.33 | 4.45 | |||||||||||||||||||||
-
|
- | - | - | 2.5 | 384,500 | 3.25 | 2.5 | |||||||||||||||||||||
-
|
- | - | - | 4.92 | 25,000 | 1.92 | 4.92 | |||||||||||||||||||||
-
|
- | - | - | 8.25 | 100,000 | 0.71 | 8.25 | |||||||||||||||||||||
0.01-4.55
|
22,500 | 0.01 | 0.01-8.25 | 14,209,327 | 3.75 |
For
the nine month period
|
Period
from April 6,
|
|||||||||||
ended
September 30,
|
2000
(inception) to
|
|||||||||||
2011
|
2010
|
September
30, 2011
|
||||||||||
Weighted-average
fair value of underlying stock at grant date
|
$4.53 | $6.45 | $3.00 - $8.23 | |||||||||
Dividend
yields
|
- | - | - | |||||||||
Expected
volatility
|
75%-80 | % | 71%-79 | % | 28.2% - 80 | % | ||||||
Risk-free
interest rates
|
0.38% - 2.24 | % | 2.38%-3.84 | % | 0.38% - 5.15 | % | ||||||
Expected
lives (in years)
|
1.50 - 5.00 | 2.19-4.88 | 1.50 - 5.31 | |||||||||
Weighted-average
grant date fair value
|
$2.76 | $2.80-$6.51 | $0.76 - $6.51 |
|
D.
|
Fair Value of
Warrants and Options (cont'd)
|
For the nine
month period
|
Period from April 6,
|
|||||||||||
|
ended
September 30,
|
2000 (inception) to
|
||||||||||
2011
|
2010
|
September 30,
2011
|
||||||||||
Weighted-average
fair value of underlying stock at grant date
|
$4.48 | - | $1.00 - $8.75 | |||||||||
Dividend
yields
|
- | - | - | |||||||||
Expected
volatility
|
77.31 | % | - | 32.20% - 99.80 | % | |||||||
Risk-free
interest rates
|
1.60 | % | - | 1.60% - 5.50 | % | |||||||
Expected
lives (in years)
|
4.00 | - | 0.56 – 4.00 | |||||||||
Weighted-average
grant date fair value
|
$3.11 | - | $0.68 - $3.11 |
|
E.
|
Compensation Cost for Warrant and
Option Issuances
|
US$
thousands
|
||||
October
1 - December 31, 2011
|
29 | |||
During
2012
|
3 | |||
32 |
|
F.
|
Warrant
Descriptions
|
Period of Grant
|
US$
|
Expiration Date
|
||||
A
Warrants
|
January
2001 – December 2001
|
1.00 |
January
31, 2005
|
|||
B
Warrants
|
November
2001 – February 2003
|
1.50 |
January
31, 2005
|
|||
C
Warrants
|
July
2003 – March 2004
|
3.00 |
December
31, 2005
|
|||
$3.00
Warrants
|
June
2004 – August 2004
|
3.00 |
December
31, 2006
|
|||
D
Warrants
|
September
2004 – April 2005
|
4.00 |
December
31, 2006
|
|||
E
Warrants
|
September
2004 – June 2005
|
5.00 |
December
31, 2006
|
|||
F
and FF Warrants
|
October
2005
|
5.00 |
*
December 31, 2008
|
|||
G
Warrants
|
December
2005 – January 2006
|
5.50 |
December
31, 2008
|
|||
H
Warrants
|
December
2006 –May 2007
|
8.75 |
September
26, 2009
|
|||
ZNWAW
Rights Offering Warrants
|
October
2008 – December 2008
|
7.00 |
January
31, 2012
|
|||
ZNWAZ
Rights Offering Warrants
|
December
2010
|
4.00 |
December
31, 2012
|
|||
ZNWAL
Rights Offering Warrants
|
August
2011
|
3.50 |
August
31, 2012
|
|
A.
|
Environmental
and Asset Retirement Matters
|
|
B.
|
Royalty
and Levy Commitments
|
|
B.
|
Royalty
and Levy Commitments (cont'd)
|
|
C.
|
Long-term
Incentive Plan
|
|
D.
|
Charitable
Foundations
|
|
E.
|
Surface
Rights of Drilling Operations
|
|
F.
|
Deferral
of Compensation
|
|
G.
|
Lease
Commitments
|
|
G.
|
Lease Commitments (cont'd)
|
US$
thousands
|
||||
October
1 - December 31, 2011
|
45 | |||
2012
|
151 | |||
2013
|
111 | |||
2014
|
29 | |||
336 |
|
H.
|
Employment
Agreement with Executives
|
|
H.
|
Employment
Agreement with Executives (cont'd)
|
|
I.
|
Internal
Dispute Affecting Owners of the Drilling
Rig
|
|
I.
|
Internal
Dispute Affecting Owners of the Drilling Rig
(cont’d)
|
|
J.
|
Transfer
of Petroleum Related Rights
|
|
K.
|
Settlement
Agreement
|
ITEM
2.
|
MANAGEMENT’S
DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATION
|
|
*
|
our
growth strategies;
|
|
*
|
our
ability to explore for and develop natural gas and oil resources
successfully and economically;
|
|
*
|
our
estimates of the timing and number of wells we expect to drill, other
exploration activities and the cost of those
activities;
|
|
*
|
anticipated
trends in our business;
|
|
*
|
our
future results of operations;
|
|
*
|
our
liquidity and our ability to raise capital to finance our exploration and
development activities;
|
|
*
|
our
capital expenditure program;
|
|
*
|
whether our
shares or publicly traded warrants would continue to meet the eligibility
requirements for continued listing on the NASDAQ Global
Market;
|
|
*
|
future
market conditions in the oil and gas industry;
and
|
|
*
|
the
impact of governmental regulation.
|
|
For the Three Months
Ended
Sept 30,
|
For the Nine Months
Ended
Sept 30,
|
||||||||||||||
|
2011
|
2010
|
2011
|
2010
|
||||||||||||
In
thousands
US$
|
In
thousands
US$
|
In
thousands
US$
|
In
thousands US$
|
|||||||||||||
General
and Administrative Expenses:
|
|
|
|
|||||||||||||
Legal
and professional fees
|
260 | 138 | 840 | 633 | ||||||||||||
Salaries
|
592 | 651 | 2,657 | 2,090 | ||||||||||||
Other
|
1,204 | 746 | 2,963 | 1,591 | ||||||||||||
Impairment
of unproved oil and gas properties
|
42,488 | - | 42,488 | 22,022 | ||||||||||||
Interest
Expense (Income), net
|
102 | (102 | ) | 29 | (17 | ) | ||||||||||
Net
loss
|
44,646 | 1,433 | 48,977 | 26,319 |
ITEM
3.
|
QUANTITATIVE AND
QUALITATIVE DISCLOSURES ABOUT MARKET
RISK
|
ITEM
1.
|
LEGAL
PROCEEDINGS
|
ITEM
1A.
|
RISK
FACTORS
|
ITEM 2.
|
UNREGISTERED SALES OF
SECURITIES AND USE OF
PROCEEDS
|
ITEM
3.
|
DEFAULTS UPON SENIOR
SECURITIES
|
ITEM
4.
|
(REMOVED
AND RESERVED)
|
ITEM
5.
|
OTHER
INFORMATION
|
ITEM
6.
|
EXHIBITS
|
10.1
|
Settlement
Agreement dated as of August 3, 2011 between Patti Beals and Zion Oil
& Gas, Inc. (incorporated by reference to Current Report on Form 8-K
filed with the SEC on August 5, 2011)
|
|
31.1
|
Certification
of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley
Act of 2002 under the Exchange Act
|
|
31.2
|
Certification
of the Principal Financial Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002 under the Exchange Act
|
|
32.1
|
Certification
of Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley
Act of 2002 (furnished only)
|
|
32.2
|
Certification
of Chief Financial Officer pursuant to Section 906 o4f the Sarbanes-Oxley
Act of 2002 (furnished only)
|
ITEM
6.
|
EXHIBITS
(cont’d)
|
101.INS*
|
XBRL
Instance Document
|
|
101.SCH*
|
XBRL
Taxonomy Extension Schema
|
|
101.CAL*
|
XBRL
Taxonomy Extension Calculation Linkbase
|
|
101.DEF*
|
XBRL
Taxonomy Extension Definition Linkbase
|
|
101.LAB*
|
XBRL
Taxonomy Extension Label Linkbase
|
|
101.PRE*
|
XBRL
Taxonomy Extension Presentation
Linkbase
|
ZION
OIL & GAS, INC.
|
||||
(Registrant)
|
||||
By:
|
/s/ Richard J. Rinberg
|
By:
|
/s/ Ilan Sheena
|
|
Richard
J. Rinberg
|
Ilan
Sheena,
|
|||
Chief
Executive Officer
|
Chief
Financial Officer
|
|||
(Principal
Executive Officer)
|
(Principal
Financial Officer)
|
|||
Date:
|
November
7, 2011
|
Date:
|
November
7, 2011
|
10.1
|
Settlement
Agreement dated as of August 3, 2011 between Patti Beals and Zion Oil
& Gas, Inc. (incorporated by reference to Current Report on Form 8-K
filed with the SEC on August 5, 2011)
|
|
31.1
|
Certification
of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley
Act of 2002 under the Exchange Act
|
|
31.2
|
Certification
of the Principal Financial Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002
|
|
32.1
|
Certification
of Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley
Act of 2002 (furnished only)
|
|
32.2
|
Certification
of Chief Financial Officer pursuant to Section 906 o4f the Sarbanes-Oxley
Act of 2002 (furnished only)
|
|
101.INS*
|
XBRL
Instance Document
|
|
101.SCH*
|
XBRL
Taxonomy Extension Schema
|
|
101.CAL*
|
XBRL
Taxonomy Extension Calculation Linkbase
|
|
101.DEF*
|
XBRL
Taxonomy Extension Definition Linkbase
|
|
101.LAB*
|
XBRL
Taxonomy Extension Label Linkbase
|
|
101.PRE*
|
XBRL
Taxonomy Extension Presentation
Linkbase
|