Exercise of Warrants and Appointment of Broker

RNS Number : 0137U

Zenith Energy Ltd

19 October 2017

October 19, 2017

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 ("MAR").

ZENITH ENERGY LTD.

("Zenith" or the "Company")

Exercise of Warrants and Appointment of Joint Corporate Broker

Zenith Energy Ltd. ("Zenith" or the "Company") (LSE: ZEN; TSX.V: ZEE), the dual listed international oil & gas production company operating the largest onshore oilfield in Azerbaijan, is pleased to announce that an investor in the Company has exercised warrants to acquire 1,257,875 new common shares of no par value (the "Warrant Shares") in the capital of the Company. The exercise price of the warrants was CAD$0.15 per share, and the total consideration received CAD$188,681 (approximately £113,900).

The Warrant Shares were issued on October 18, 2017 by the registrars in Canada.

An application will be made for the Warrant Shares to be admitted to trading on the Main Market of the London Stock Exchange, and for them to be listed on the Standard Segment of the UK Official List, both with effect from October 25, 2017 ("Admission").

Total Voting Rights

Following Admission of the Warrant Shares, the Company will have 132,481,927 common shares in issue and admitted to trading on the Main Market of the London Stock Exchange and the Toronto Stock Exchange Venture Exchange. The above figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or change to their interest in, the share capital of the Company under the Financial Conduct Authority's Disclosure Guidance and Transparency Rules.

Appointment of Joint Corporate Broker

The Company is pleased to announce the appointment of Beaufort Securities Limited (Beaufort Securities) as joint corporate broker to the Company on the London Stock Exchange with immediate effect.

London Shareholder Meeting

The Company will hold a shareholder meeting, consisting of a presentation followed by a Q & A session, to update UK investors on Zenith's operational progress and development strategy on December 4, 2017 in London. Chief Executive Officer, Andrea Cattaneo, will deliver the presentation.

To confirm participation and receive event details please contact info@zenithenergy.ca.

No new material information will be released during the meeting.

Chief Executive Officer, Andrea Cattaneo, commented:

"Beaufort has a strong understanding of the transformational potential of our assets in Azerbaijan, having produced an excellent research report earlier in the year. I am sure that this appointment will be of great assistance in supporting Zenith's exciting journey ahead."

For further information, please contact:

Zenith Energy Ltd.

Andrea Cattaneo

Chief Executive Officer

Email: info@zenithenergy.ca

Tel: +1 (587) 315 9031

Fax: +1 (403) 775 4474

Optiva Securities - (Joint Broker)

Christian Dennis

Tel: + 44 (0) 203 137 1903

Beaufort Securities Limited - (Joint Broker)

Jon Belliss