Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Hahahahaha...
"Listen to the message of the market."
Haahahahahahaaaa...
Oh, my God.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=121114367
Will they profit the most from their own 'screw ups'?
By the way: give me your email address! I need to have a word with you.
It's not just Peter,
http://www.wsj.com/articles/oil-rout-crimps-sectors-presence-on-u-k-s-ftse-100-1457935383?mod=yahoo_hs
LONDON—Not long ago, the oil sector was a powerhouse in the British blue-chip index. Nearly 24% of the total market value represented in the FTSE 100 in 2009 comprised oil drillers or oil-service companies.
In 2016, the percentage is down to 12%. Only two oil companies are in the FTSE 100—BP PLC and Royal Dutch Shell PLC—down from eight in 2012, when it was the biggest sector on the index.
Energy stocks have never reached...
I just think they got the maximum out of an unfortunate situation, Troy.
Without glut oil this would not have happened. And I seriously doubt that other, way better management could have prevented most of this share price slide.
I keep on emphasizing that they used outside expertise along the way, by every step they took.
Troy,
Peter Ntephe's most recent actions and inactions seem designed to wipe out the market cap of ERHC Energy.
That is illegal.
Sidewinder,
Try to find some 'news'...
https://www.google.nl/search?hl=nl&q=CEPSA+KENYA+Community+Liaison+Committee&gws_rd=ssl#hl=nl&tbm=nws&q=turkana+West+Community+Liaison+Committee+
That is a lot of related news, right?
tryoty,,,,,,,,,,,holy crap tryoty you lost it, seen you go many time from positive to negative in the same day , slow down and sit and shut up like the rest of us . Not a god dam thing we can do till after we get totaly screw by our fearless leader PETER
sidewinder
Sidewinder,
Try to find some 'news'...
https://www.google.nl/search?hl=nl&q=CEPSA+KENYA+Community+Liaison+Committee&gws_rd=ssl#hl=nl&tbm=nws&q=turkana+West+Community+Liaison+Committee+
That is a lot of related news, right?
In Turkana West where CEPSA is exploring, the community set up a community liaison committee (CLC),
which has representatives from each ward, but does not allow politicians to sit on the committee. The
CLC visited Turkana South to observe the community investor relations there and decided to do things
differently, creating terms of engagement which were then brought to the company and after long debate,
accepted.67 This community-led committee has been a point of contact for the company and has led the
equitable distribution of jobs through all wards, avoiding inter-clan conflicts experienced elsewhere in
Turkana. Similarly in northeast Turkana a Local Advisory Committee was formed, which also aimed to be
inclusive, with youths and faith based organizations well represented, and oversaw all jobs and tenders
and held sub-contractors to account.68
http://www.crimepreventionkenya.org/wp-content/uploads/2015/11/Conflict-and-Extractive-Industries-in-Turkana-FINAL.pdf
Turkana Oil and Gas industry
Welcoming CEPSA to Turkana. Wishing you all the luck in the world
http://www.oilnewskenya.com/tarach-1-well-in-kenyas-block-…/
https://www.facebook.com/kenyaoil
The other mechanism used by Tullow to work with local
communities in Turkana was through a team of about 30
community liaison officers (CLOs) covering the three oil
exploration blocks (10BA, 10BB and 13T) in Turkana North, East
and South respectively. Local community representatives
interviewed in these areas indicated to us that they did not
trust the CLOs and disliked the methods employed to make
contact with and engage with local communities. In particular
they complained about the use of local politicians (MPs and
MCAs) as community interlocutors, the fact that when people
expressed grievances either they were not listened to, or
Graph 3.1 anyway the follow-up was very limited, and the expectation of appeasement in return for ‘traditional’ gifts such as sugar and tobacco. For a more detailed assessment, see section 3.6.
Troy,
A CEO that was competent in the U.S. markets expectations would never had to go into the toxic debt spiral that Peter Ntephe dragged us into. He may very well be a genius, but in the U.S. market where our shares trade he is an incompetent fool.
And now, in spite of all that (or should I say: THANKS TO all that) they become multi-millionaires...
They will take care of themselves and their stake... be sure about that. Hahahahaha.
With just less than $1000,- I can recoup ALL of my losses made in over 10 years of investing in ERHC, if commercial oil is found, even make a profit.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=121114367
Some just don't get it, supposedly that is.
HAHAAAHAAAHAHAA...
Troy,
"AKPO was valued at $7 per barrel. That oil was "in the ground" *AND* under a mile of water. $15 per barrel onshore is a fair value."
I can't find anything worthwhile on bookvalue per barrel, it is very complicated I've read.
But as oilprices go up, bookvalue also goes up, so that is a very good thing, since this oil of course will be brought to markets in several years from now, so way past 'glutoil'.
http://oilprice.com/Energy/Crude-Oil/Why-Value-Per-Barrel-Is-Such-A-Lousy-Metric.html
Value per barrel is a completely hopeless way of putting a price on an oil company or project; but (as with democracy and political systems) unless you have all the detailed facts, numbers and sophisticated tax models it is still the best tool most investors have.
Remember the word 'relentlessly'?
Kownski,
From Wiki:
The conductor casing serves as a support during drilling operations, to flowback returns during drilling and cementing of the surface casing, and to prevent collapse of the loose soil near the surface. It can normally vary from sizes such as 18" to 30".
"In order to reduce cost, a liner may be used which extends just above the shoe (bottom) of the previous casing interval and hung off downhole rather than at the surface. It may typically be 7", although many liners match the diameter of the production tubing."
From the ERHC website:
The Tarach-1 well is designed to drill from a 20-inch surface casing through intermediate casings down to 2,442 meters and set a seven-inch liner down to total depth (TD) of 3,000 meters.
Is it really more than just a test hole? Not that I doubt your expertise, but please elaborate.
The Doc.
Let's say 50 million barrels at $15,- = $750 million times 30% = $225 million divided by let's say 40 million shares = $5.63
We are now at $0.06
$5.63 / $0.06 = factor 93.75
A current investment of $5000,- now will generate you $468.750,-
Realistic when oil is found? I absolutely thinks so. I don't know what the minimum amount is that CEPSA needs to find for commerciality?
Kenya to Go It Alone in Oil Pipeline Project
http://allafrica.com/stories/201603060004.html
"The Lokichar-Lamu pipeline would still be viable with South Sudan on board or if more exploitable reservoirs were discovered in Northern Kenya," said Patrick Obath, the managing consultant of Eduardo Associates, a sector analyst.
Jsc,
sorry for multiple posts I didn't think the computer was sending it
It's good to see after so many years here you haven't lost your sense of humor!
Parker,
Middy, I am is full agreement about many of your statements.
I believe most shareholders agree with you but few remain here as they have bailed because of the reasons you post (incompetent management in so many ways).
I agree this IRS situation where management failed to disclose YEARS ago is the most blatant violation of SEC rules to date. I agree there have been many other questionable times when management failed to disclose information when they should have. If those here that still believe completely in management, they need to wake up to reality and realize how outrageous what management did failing to disclose the IRS situation for months, and months and months and even years. Management had to know how this IRS thing was going to turn out for quite some time, but said NOTHING! In fact what they did disclose was actually deceitful, if not an outright lie. This IRS situation was not small potatoes, it involved millions of dollars, more than the company is now worth.
I agree that management should be informing the shareholders with an update on how this IRS thing is going to be paid or exactly what is going on at this moment.
I agree that management should be informing us with daily or weekly updates on the drilling progress, especially the funding of ERHC's share of the costs.
Who here disagrees with the above thoughts and why?
NOBODY should be defending management after this IRS screw up.
The thing that really puzzles me is why PN and SO were buying shares when they had to know about the IRS situation. The only reason that is possible, is they were doing it to keep their paychecks rolling in and did it to fool the market to believe they had confidence in the company.
Looking at anything else?
Seek,
Do we know, can we know this is the last batch of convertibles?
Or is even more to follow?
Tullow Says Production Vessel Arrives in Ghana for Field Startup
http://www.bloomberg.com/news/articles/2016-03-03/tullow-says-production-vessel-arrives-in-ghana-for-field-startup?cmpid=yhoo.headline
The company, which has made some of Africa’s largest oil discoveries in the last 10 years, has cut capital spending as it recalibrates its operations for a period of low prices.
Will that period be long? Probably not at these prices.
Still more selling to come, imo. I think there is still $150,000 converts outstanding.
Troy,
Ntephe is a completely, and I mean completely, out of his league in the CEO position.
Every day that he doesn't clarify what's happening is another example of his failure as a CEO.
Gambler,
Courtesy Strategy:
First, I actually fall more into MTO's camp on this whole tax audit/disclosure issue. I am not pleased at all with how this looks. That said, I have no idea why or how multiple third party auditors have signed off on all this till now. I still think there is way more than I understand on this whole issue. ERHE, you should update all your shareholders on what this means and how you plan to rectify the issue (do you think they are listening?).
The good news is that this tax audit/lien issue is exactly that, a sideline and long developing or unfolding issue regarding something from 2006 which is not the underlying business of ERHE. It looks to be an argument over how ERHE wanted to offset some expenses to the cash they received from the JDZ.
We can now say definitively that ERHE negotiated one of their EEZ blocks to be worth $4 million. No more discussion there except I was expecting more details on what they might get as a trailer if oil is discovered. I guess it is not big enough to put in a filing???
Anyway, I guess we can pretty much assume the other remaining EEZ block is worth about $4 million in the current state of low oil prices and no discoveries in the EEZ yet. At least that is more than the entire market cap of ERHE.
Now, what is going on with the price today? Up 65% on low volume to .14 and my ask currently shows .24. Maybe there is more news on the way. That is the only thing I can come up with because I wouldn't say there was anything else in that 10 Q to justify a spike up.....
I guess there is sooooooo much negativity built into the share price that "the market" was expecting worse and now it is telling us ERHE is undervalued currently.
The fear gap will eventually close.
Reminder:
SEO originally put in $6 million. BUT, Chrome went on to fund (by way of loans and interest) ERHE before they got the JDZ money. Chrome was "paid back" from shares only. I am pretty sure the strike price was around .22 Presplit. So, Offer/Chrome are probably into this investment by about $8 - $10 million.
We all know they didn't hit the hopeful elephant field in the JDZ which would have given ERHE hundreds (plural) of millions in market cap but if they hit even their prospective oil amounts with their onshore Kenya property, the Market cap will not be near the current $3 million.
Courtesy: Strategy
Troy,
Regarding your statement:
The reverse split was sold to shareholders BY MANAGEMENT as a step needed to accommodate a strategic investor, and now we see Ntephe trying to farm out another 15%-20%. Where's the strategic investor that was going to save the day?
Oil Seen Surging About 50% by Fourth Quarter as Supply Eases
2/3/2016
"There are signs supply and demand will start to come back into balance this year, OPEC Secretary-General Abdalla El-Badri said Jan. 25 at a conference in London. Global demand is forecast to increase by about 1.3 million barrels a day while supply from outside the producer group is expected to contract by about 660,000 a day, he said.
Iraq, the second-biggest producer in OPEC, and Pierre Andurand, the founder of the $615 million Andurand Capital Management, predict oil may rise to $50 a barrel, while the United Arab Emirates sees the glut shrinking, even after Iran boosts exports."
http://www.msn.com/en-us/money/markets/oil-seen-surging-about-50percent-by-fourth-quarter-as-supply-eases/ar-BBp2Pg7?ocid=spartandhp
The Doc.
That is good news.
Not that the news was news, but always a 'schock' to read that they want to give away a percentage.
I think this is very old 'news' in the sense that this is not current info. I don't think they want to give away 20% right now, weeks before drilling, unless they get the Jackpot.
I also still think that Offor can, if he wants to (and why wouldn't he) act as a back-stop. He can fund the company any day of the week.
EEZ, Chad, JDZ even...?
Those properties are worth a lot with glut oil gone.
"When Swala Energy announced the joint venture in June, CEPSA had committed to pay Sh660 million ($7.5 million) should it participate in the drilling (or spudding) of the first well in the area."
So, CEPSA was not willing to spend 7.5 million dollars on 12B, but they are willing to spend $30.000.000 at least on 11A...
Well, some sort of confidence seems to be present at CEPSA in regards to the Tarach-1 drill.
http://www.businessdailyafrica.com/CEPSA-quits-Kisumu-oil-exploration/-/539552/2402248/-/cijsnmz/-/index.html
Julius Erving.
A nice reminder:
http://www.businessdailyafrica.com/US-oil-firm-EHRC-plans-to-drill-Turkana-well-/-/539552/2473224/-/15fpaiaz/-/index.html
In 2014 it was expected that drilling would take place END of 2016.
What did Peter write recently:
"We continue to work relentlessly toward a spud date for the Tarach-1 well near the end of the first quarter of 2016."
We know he is right, but I don't know WHY cepsa is working relentlessly these days!?!
Also a confident reminder:
"Tullow explores for oil in Turkana. Swala will take a second stab at selling its interest in Block 2B after a similar botched deal with Spanish CEPSA."
“The issue is management of risk so that would be the same under any oil price scenario,” said Dr Ridge. Tullow’s local exploration is at the expense of French Guiana, Mauritania and Norway.
http://www.businessdailyafrica.com/Swala-mulls-over-putting-Kisumu-oil-block-on-sale/-/539552/2597586/-/13qhuivz/-/index.html
“The reduced exploration programme will predominantly focus on a number of high-impact, low-cost exploration opportunities in East Africa.
‘‘While this is a challenging time for our sector, Tullow is fortunate to benefit from world-class, low-cost and high-margin assets, strong and growing cash flows and a broad, diversified funding position,” said Tullow chief executive Aidan Heavy a week ago."
Is block 11A's first drill fitting the description "High-impact, low-cost" opportunity?
CEPSA seemed to make a clear choice with 11A, while dropping 2B.
The Doc.
"For anyone who has read one of these pieces you'll know how I have described that every three to four years volatility in the price of oil surges upwards as if spurred by an unseen wave machine."
http://oil-price.net/en/articles/how-oil-price-volatility-explains-uncertain-times.php
"The next year may see a calmer situation, but it seems likely that during this period stock markets could be more than usually sensitive to black swan-like events."
I thought that IRS thingy is not a problem?
"This restatement is necessitated by the Internal Revenue Service disallowing certain deductions on ERHC’s 2006 tax return. The disallowance resulted from stock based compensation expense that the Company had recognized as a deductible expense in its 2006 tax return. The disallowance was the outcome of an Internal Revenue Service audit of ERHC’s 2006 return, which audit lasted nearly seven years and has been previously disclosed. As such, the consolidated financial statements for the years ended September 30, 2015 and 2014 are in the process of being restated to properly reflect the tax liabilities that should have been recorded in 2006."
And third party people are responsible for any 'wrongdoing' or errors in the filing, right?
Tamtam
The well is scheduled to spud on or about March, 2016 if all conditions precedent are met. As of December 31, 2015, drilling rig and equipment mobilization were underway.
Kenya eyes five new oil blocks despite falling crude prices
http://www.standardmedia.co.ke/business/article/2000193047/kenya-eyes-five-new-oil-blocks-despite-falling-crude-prices
I looked at Google Maps 4°29'59"N 34°46'45"E just now...
...and I think it looks like there must be oil on that location.
:p
Strategy already talked about some sort of hibernate, which is doable, because it is a 'holding' with some oil rights.
Now that management is STAKEHOLDER, it is likely.