ZOL.L Regulatory News (ZOL)

For immediate release: 4 July 2013

Zoltav Resources Inc.

("Zoltav" or the "Company")

Completion of acquisition of CenGeo and admission to trading on AIM

Zoltav (AIM: ZOL), the CIS-focused oil and gas exploration and development company, is pleased to announce the completion of its first major asset acquisition and the admission of its enlarged issued share capital to trading on the AIM market of the London Stock Exchange. Dealings commenced at 8.00 a.m. today. This follows the completion of the acquisition of CenGeo Holdings Limited and receipt of the first tranche of the ARA Capital investment (the "Subscription").

Highlights

·; Completion of Zoltav's first major oil and gas asset acquisition

·; Koltogor oil field contains Probable oil reserves of 73,531,000 barrels

·; First tranche of Subscription ($13 million) received from ARA Capital to fund the commencement of the work programme on Koltogor

·; 20 for 1 Share Consolidation now effective

Enlarged Group

Zoltav, through its wholly-owned subsidiary SibGeCo, now holds the Koltogorsky Licence ("Koltogor Licence") located in the Khantiy-Mansisk Autonomous Okrug in Western Siberia. The Koltogor Licence contains the undeveloped Koltogor oil field. The Koltogor Licence came into effect upon its registration by the Russian Agency for Subsoil Use on 21 February 2013, and is valid until 15 February 2033.

Zoltav intends to acquire up to 500 square kilometres of 3D seismic during the winter season 2013/2014 period in order to better understand the characteristics of the field and to identify optimal locations for appraisal wells. It is envisaged that the initial appraisal drilling programme in 2015/16 will comprise up to four wells. The Company also plans to commence test production during 2014 by reopening the 141 well.

Subscription

The Company has entered into an agreement with ARA Capital, the Company's largest shareholder, obliging ARA Capital to subscribe for shares in the capital of the Company with an aggregate value of US$20 million (approximately £12.7 million) at a (post-consolidation) subscription price of 70.0 pence per share. The first tranche of the Subscription, totalling $13 million, has now been received by the Company, resulting in the issue of 11,828,935 New Ordinary Shares to ARA Capital. Following receipt of the full Subscription, to be completed by no later than 1 April 2014, a total of 18,198,362 New Ordinary Shares will have been issued to ARA Capital in respect of the Subscription.

Following the issue of the 11,828,935 New Ordinary Shares ARA Capital is now interested in 21,364,274 New Ordinary Shares, equivalent to 38.6 per cent. of the Company's issued share capital.

On admission, the Company will have 55,341,302 New Ordinary Shares admitted to trading on AIM.

Shore Capital & Corporate Limited acted as Nominated Adviser and Shore Capital Stockbrokers Limited as Broker to the Company.

Commenting on the completion of the Acquisition Symon Drake-Brockman, Executive Chairman, said:

"Completion of the Koltogor oil field acquisition is an important first step on Zoltav's path to becoming a significant producer of, and explorer for, oil and gas in the CIS. The transaction brings with it a first-class technical team with a deep knowledge of the asset which we are seeking to develop.

Our operational focus moves swiftly to the work programme at Koltogor, including a major 3D seismic programme undertaking to commence this year, leading up to appraisal drilling in 2015/16.

At the same time our corporate focus continues to be on identifying further high quality oil and gas assets in the CIS for acquisition."

- Ends -

For further information on Zoltav visit: www.zoltav.com 

Contacts:

Definitions:

"Koltogor oil field"

The Koltogor oil field as determined by the Company's competent person (DeGolyer and MacNaughton Corp.) within the Koltogorsky Production Licence;

"barrel"

A stock tank barrel, a standard measure of volume for oil, condensate and natural gas liquids, which equals 42 US gallons.

Capitalised terms used but not defined in this announcement have the same meaning as given to them in the Admission Document.