ZaZa Energy Corporation has simultaneously (i) signed a Heads of Agreement ('HoA') with Hess Corporation to effect a transaction that will lead to the termination or modification of the Parties' 2010 agreements in Texas and France, (ii) amended the existing exploration and development agreement with Hess in Texas for which ZaZa has been paid an immediate cash consideration of $15 million; (iii) agreed to pay down its $100 million senior secured notes due 2017 by $33 million, and (iv) engaged Jefferies & Company, Inc. to lead a joint venture process for ZaZa's Eagle Ford core and Woodbine/Eaglebine assets.

Upon reaching definitive agreements on terms outlined in the HoA, ZaZa's exploration and development agreement in the Eagle Ford core, Texas, and its partnership agreement in the Paris Basin, France, will be terminated.

Tags: Hess Corporation, ZaZa Energy