Zenith Energy : Debt reduction, amendment of terms and issue of warrants

April 23, 2021        

ZENITH ENERGY LTD.

("Zenith" or the "Company")

Debt reduction, amendment of terms and issue of warrants 

Zenith Energy Ltd. ("Zenith" or the "Company") (LSE: ZEN; OSE: ZENA), the listed
international oil & gas production company focused on pursuing African
development opportunities, is pleased to announce that it has reduced its
liabilities, extended the maturity date of two existing loans and issued share
purchase warrants to certain lenders of the Company. 

Debt Reduction 

On February 14, 2020, the Company announced that, in relation to its US$2.5
million convertible loan facility (the "Facility") it had reduced its liability
to US$1.05 million. 

The Company is pleased to confirm that, following recent repayments, the current
liability in relation to the Facility stands at US$0.7 million. 

As last announced on January 6, 2021, the Company had an outstanding credit
agreement with a financial institution in Azerbaijan for an amount US$54,650.00
plus accrued interest payable by June 30, 2021.

The Company is pleased to confirm that this liability has now been reduced to a
total amount of US$25,000.  

Loan Extensions 

The Company confirms that it has amended the terms of the US$2.5 million
convertible loan facility and of an existing revolving credit line, extending
the current repayment terms.

Issue of Warrants 

In connection with these loan extensions, Zenith has issued:

o	45,000,000 share purchase warrants exercisable at NOK 0.12 (approximately
£0.01) per common share payable in full in cash on subscription, and expiring
within six months from the date of issue; and,  
o	13,593,113 share purchase warrants to the lenders exercisable at NOK 0.156
(approximately £0.013) per common share payable in full in cash on subscription
expiring three years from the date of issue. 




Andrea Cattaneo, Chief Executive Officer of Zenith, commented:

"We are always seeking to improve our balance sheet by reducing our debt
exposure, specifically to convertible loan facilities. 
The Board believes the Company shall soon be able to settle all outstanding
convertible debt instruments in the event it successfully completes and develops
the recently announced acquisitions which have the potential to transform the
Company's revenue position and profitability in the current oil price
environment." 

Zenith Energy Ltd 	 
Andrea Cattaneo, Chief Executive Officer	Tel: [phone]
 	E-mail:  [e-mail]

Allenby Capital Limited - Financial Adviser & Broker	 
Nick Harriss
Nick Athanas	Tel: + 44 (0) 203 328 5656

Further Information:
 
The information included in this announcement is defined as inside information
pursuant to MAR article 7 and is publicly disclosed in accordance with MAR
article 17 and section 5 -12 of the Norwegian Securities Trading Act. The
announcement is made by the contact person. 

Notes to Editors: 

Zenith Energy Ltd. is an international oil and gas production company, listed on
the London Stock Exchange (LSE:ZEN) and the Euronext Growth Market of the Oslo
Stock Exchange (OSE:ZENA).
Zenith's development strategy is to identify and rapidly seize value-accretive
hydrocarbon production opportunities in the oil & gas sector, specifically in
Africa.

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