April 17, 2020
 
ZENITH ENERGY LTD.   

("Zenith" or the "Company")

Acquisition of Tilapia for £200,000

Zenith Energy Ltd. ("Zenith" or the "Company") (LSE: ZEN; TSX.V: ZEE; OSE:
ZENA-ME), the listed international oil & gas production company focused on
pursuing African development opportunities, is pleased to announce that it has
successfully renegotiated the terms for the acquisition from AIM listed Anglo
African Oil & Gas plc ("AAOG") of its fully owned subsidiary in the Republic of
the Congo, Anglo African Oil & Gas Congo S.A.U, ("AAOG Congo") which has a 56
per cent. majority interest in, and is the operator of, the Tilapia oilfield in
the Republic of the Congo (the "Licence").

The Company has entered into a new conditional Deed of Variation (the " Deed of
Variation") which now includes the acquisition of a 100 per cent. interest in
AAOG Congo and related intercompany loans (the "Acquisition") for a revised
total consideration of £200,000 ("Revised Consideration").

The aforementioned variation to the terms of the Acquisition means that
completion ("Completion") will occur after the passing of a resolution (the
"Resolution") to be put to shareholders of AAOG at a general meeting (the "GM").
Completion of the Acquisition is therefore no longer conditional on certain
regulatory approvals being obtained in the Republic of the Congo.

Under the terms of the Deed of Variation for the Acquisition, payment of the
Revised Consideration will solely depend upon the passing of the Resolution at
the GM by AAOG shareholders. 

Payment of the Revised Consideration is expected to be made on the next business
day following the date of the Resolution being passed. 

In addition, AAOG will novate 100% of the intercompany loans with AAOG Congo to
Zenith as of the date of Completion, equivalent to approximately £12.5 million.

As previously announced, AAOG Congo is owed approximately US$5.3 million by
Société Nationale des Pétroles du Congo ("SNPC") as a result of past work
performed on the Licence. 

Following Completion, the Company will assume responsibility of all ongoing
costs and liabilities in relation to AAOG Congo. Zenith expects to implement a
series of cost-cutting measures at AAOG Congo to improve profitability,
especially in reaction to the significant recent decline in oil prices. 

Andrea Cattaneo, Chief Executive Officer, commented:

"Acquiring a 56 percent interest in the potentially transformational Tilapia
oilfield, as well as 100% of the approximately US$5.3 million in receivables,
for a consideration of £200,000 is a fantastic result made possible by the
exceptional circumstances brought about by the COVID-19 pandemic, as well as the
current low oil price environment. 

We are fully confident that the necessary regulatory approval process in the
Republic of the Congo for the transfer of ownership, as well as negotiations for
a 25-year renewal of the Tilapia licence, will conclude positively, having been
delayed due to the difficulties caused by COVID-19. 

I believe we have obtained significant value for Zenith shareholders by
concluding the transaction under the revised terms and I look forward to
delivering further good news in due course." 

Further Information:

Zenith Energy Ltd. 	

Andrea Cattaneo, Chief Executive Officer	Tel: +1 (587) 315 9031

	E-mail: info@zenithenergy.ca

Novum Securities Limited - Broker	Tel: + 44 (0) 207 399 9400

Colin Rowbury	
 
Notes to Editors: 

Zenith Energy Ltd. is an international oil and gas production company, listed on
the TSX Venture Exchange (TSX.V:ZEE) and London Stock Exchange (LSE:ZEN). In
addition, the Company's common share capital was admitted to trading on the
Merkur Market of the Oslo Børs (ZENA:ME) on November 8, 2018. The Merkur Market
is a multilateral trading facility owned and operated by the Oslo Børs. 
The Company was assigned a medium to long-term issuer credit rating of "B+ with
Positive Outlook" on October 9, 2019 by Arc Ratings, S.A. On November 18, 2019,
the Company was assigned a "B+" with Stable Outlook debt issuer credit rating by
Rating-Agentur Expert RA. Zenith's development strategy is to identify and
rapidly seize value-accretive hydrocarbon production opportunities in the
onshore oil & gas sector, specifically in Africa. The Company's board of
directors and senior management team have the experience and technical expertise
to develop the Company successfully.

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