ZaZa Closes Hess Transaction in Paris Basin

  ZaZa Closes Hess Transaction in Paris Basin

Business Wire

HOUSTON -- October 03, 2012

ZaZa Energy Corporation (“the Company” or “ZaZa”) (NASDAQ: ZAZA) today
announced that it recently received initial approval from the French
government regarding the terms of ZaZa’s transaction with Hess Corporation
(“Hess”) (collectively, the “Parties”), announced June 11, 2012. This initial
approval enabled the Parties to complete the termination of their 2010
agreements on October 1, 2012. As part of the transaction, ZaZa’s working
interest in the Parties’ Paris Basin exploration licenses has now been
converted into a 5% overriding royalty interest capped at $130 million.

Todd A. Brooks, President and Chief Executive Officer, said, “We are pleased
to receive initial approval from the French government for the transaction,
which provides ZaZa with attractive royalty rights to a resource play with
significant potential. The Company has made significant strides in narrowing
our exploration focus to our prolific Eagle Ford and Eaglebine assets in
Southern Texas and we look forward to creating value for shareholders.”

About ZaZa Energy Corporation

Headquartered in Houston, Texas, with offices in Corpus Christi, Texas and
Paris, France, ZaZa Energy Corporation is a publicly-traded exploration and
production company with primary assets in the Eagle Ford and Eaglebine
resource plays in Texas. More information about the Company may be found at
www.zazaenergy.com.

Safe Harbor Statement

Except for the historical information contained herein, the matters set forth
in this news release are “forward-looking statements” within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. ZaZa intends that all such
statements be subject to the “safe-harbor” provisions of those Acts. Many
important risks, factors and conditions may cause ZaZa’s actual results to
differ materially from those discussed in any such forward-looking statement.
These risks include, but are not limited to, estimates of reserves, estimates
of production, future commodity prices, exchange rates, interest rates,
geological and political risks, drilling risks, product demand, transportation
restrictions, actual recoveries of insurance proceeds, the ability of ZaZa to
obtain additional capital, and other risks and uncertainties described in the
Company’s filings with the Securities and Exchange Commission. The historical
results achieved by ZaZa are not necessarily indicative of its future
prospects. The Company undertakes no obligation to publicly update or revise
any forward looking statements, whether as a result of new information, future
events or otherwise.

Contact:

Sard Verbinnen & Co.
Dan Gagnier, +1-212-687-8080
dgagnier@sardverb.com
 
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