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good video of Addax CEO Jean-Claude Gandur
http://www.addaxpetroleum.com/press_room/on_record
mentions the JDZ Rig
doubt it - we would have been informed
its damage control around the time of the Senate hearing [if you notice the dates of the 2 events]
any guidence from management is a good thing
it appears the co is trying to get us to look to the FUTURE
i.e. con call / Nigerian Summit sponsor / drilling timeframes
vs. focusing on the investigations
hopefully it stops the bleeding of the PPS
its damage control - there are no NEW finanicals
[revenues / earnings / PE Ratios ]
just some hand holding from the Captain while the ship encounters rough waters on the way to the JDZ
hopefully they can smooth out the seas and quell the nerves of the nervous and uncertain
WOW first "EVER" ERHC conf. call - Thx Dan
hope they leave plenty of time for Q&A
maybe SEO will host !!!
No Worries
ERHC has had its share of hurdles over the years
Always ends up on its feet
Looking forward to JDZ drilling and the ERHC / Addax Gold Sponsored Nigeria Oil and Gas Summit
Sure will be lots to discuss
the bumpy journey to Black Gold continues ...
Homeport is there a link to the STP news of BL 1
http://www.cwcnog.com/content.php?page=sponsor
also Addax is sponsoring a lunch on day 3
Conference Agenda
http://www.cwcnog.com/content.php?page=conference&sub=confAgenda
02/19/2008 2:45pm
Key driver to maintain Nigeria\'s momentum - 1 - Deep Water
Chairman; Joe Obiago, Chairman, Global Energy Company
Deepwater potential
- Deepwater potential : what steps need to be taken to ensure that potential is realised?
- Maximising potential in Nigeria: corporate perspective
- JDZ: latest developments and key projects
- Operations best practice and national objectives - the ExxonMobil experience
Gloria Essien, Executive Director, Mobil Producing Nigeria Unlimited
$0.005 - $0.01 was the darkest of days
only a post or 2 on RB/day to speak of
Addax Petroleum announces oil and gas discoveries offshore Nigeria
Thursday July 12, 8:06 am ET
Exploration drilling in OML137 yields two discoveries
CALGARY, July 12 /CNW/ - Addax Petroleum Corporation ("Addax Petroleum" or the "Corporation") (TSX:AXC and LSE:AXC) announced today the discovery of oil and gas in the Ofrima North structure and gas in the Udele West structure. Both structures are located in OML137, offshore Nigeria.
Commenting, Jean Claude Gandur, President and Chief Executive Officer of Addax Petroleum said: "I am very pleased that the exploration focus we initiated last year has already started to produce positive results. So far in 2007 we have made three discoveries offshore Nigeria, including the Antan oil discovery in OML123, and achieved a perfect technical exploration success record. Appraisal and development planning is underway for all three discoveries. I am particularly excited at the potential demonstrated by our exploration results in OML137, including the potential for significant gas exports."
The Ofrima-2 exploration well, drilled on the Ofrima North structure, discovered a 140 feet gross oil bearing interval at a depth of approximately 7,000 feet subsea. Based on static pressure data measurements, the Corporation anticipates the presence of a light oil of approximately 39 degrees API, similar to the crude oil produced from the Okwori and Nda fields in the Corporation's adjacent OML126. In addition, the well encountered three gas bearing intervals with individual gross gas columns of 29, 43 and 158 feet at shallower and deeper depths relative to the oil bearing interval. The Ofrima-2 well was spudded on April 6, 2007 and suspended on May 31, 2007.
A second exploration well, Udele-2, was drilled on the Udele West structure immediately following the suspension of the Ofrima North discovery well. The Udele-2 well discovered seven gas bearing intervals with individual gross gas columns of between 41 and 113 feet, 542 feet in aggregate, at depths ranging from 2,700 to 5,900 feet subsea. The Udele-2 well was suspended on July 2, 2007.
Both wells were drilled using Saipem's Scarabeo-3 semi-submersible drilling rig in water depths of approximately 75 metres at Ofrima North and 170 metres at Udele West. Currently, the Scarabeo-3 is undertaking a well workover on the Okwori field and thereafter will go offsite for approximately three months for routine inspection before returning to OML126 and OML137. In anticipation of the Scarabeo-3 inspection, the Ofrima-2 and Udele-2 wells were suspended. The Corporation intends to re-enter each well to carry out flow tests over selected intervals when the Scarabeo-3 returns.
The Ofrima-2 well is located approximately 80 kilometers west of the Corporation's Okwori field and approximately 15 kilometers from the Agip operated Agbara field The Udele-2 well is located approximately 32 kilometers southeast of the Ofrima-2 well. OML137 lies approximately 50 kilometers from the planned Brass LNG terminal.
About Addax Petroleum
Addax Petroleum is an international oil and gas exploration and production company with a strategic focus on West Africa and the Middle East. Addax Petroleum is one of the largest independent oil producers in West Africa and has increased its crude oil production from an average of 8,800 bbl/d for 1998 to an average of approximately 116,000 bbl/d for the first quarter of 2007. Further information about Addax Petroleum is available at www.addaxpetroleum.com or at www.sedar.com.
Legal Notice - Forward-Looking Statements
related Guinea's National Assembly Opens Special Session; Priority Given to Hyperdynamics' 2006 PSC
Tuesday July 10, 7:30 am ET
HOUSTON--(BUSINESS WIRE)--Hyperdynamics Corporation (AMEX:HDY - News) announced today its sources in Guinea have confirmed that, on Friday July 6th, the National Assembly of Guinea officially opened its special session that was originally planned to be opened in early June. The special session was opened by the executive order of President Conte for a maximum period of 45 days. Through official correspondence, signed by Aboubacar Sompare, the president of the National Assembly, Hyperdynamics was notified that its 2006 Production Sharing Contract (2006 PSC) has been given a priority status for the legislative process to become a super contract, known as a "Project of Law". Today the 2006 PSC is in effect and in accordance with Guinea's 1986 petroleum code. However, a majority vote of representatives would codify this contract into its own separate and standalone Guinea law.
ADVERTISEMENT
When asked to comment, Mr. Famourou Kourouma, Hyperdynamics' Vice President of Guinea Affairs stated that, "Our contract is before the members of the National Assembly. It has been negotiated and debated more openly and more extensively than any contract in the history of Guinea. I am confident for a positive result."
About Hyperdynamics
Hyperdynamics Corporation provides energy for the future by exploring and producing sources of energy worldwide. The company's internationally active oil and gas subsidiary, SCS Corporation, owns rights to explore and exploit 31,000 square miles offshore the Republic of Guinea, West Africa. HYD Resources Corporation focuses on domestic production in proven areas. To find out more about -Hyperdynamics Corporation, visit our Website at http://www.hyperdynamics.com.
Forward Looking
yup Billions and Billions - no doubt
talk about a right wing conspiracy theory
geez - aren't there more pressing issues facing the USA currently - isn't Barak Obama off somewhere raising $32 million
finally WallDog I agree w/you
- what a complete waste of taxpayers money - FYI Haliburtons Gov;t contracting business has gone up 500% since Bush got in office - odd coincidence
Hey where is the pressure on XOM in BL - didn't they get 40%?
this PR was very carefully crafted
I have never seen our minnow so defensive [see below]
although the punches are coming in strong from all sides
and I'm sure the Ny Times and HC will have a follow up
we certainty were standing toe to toe and even throwing a few jabs back
"“The New York Times and The Houston Chronicle recently ran stories regarding ERHC. There are a few points that I would like to emphasize. ERHC’s rights in the JDZ, as well as those granted to other companies, were recognized by the Joint Development Authority pursuant to the terms of the treaty establishing the JDZ, which was ratified by the governments of Nigeria and Sao Tome & Principe.
Our position is that the circumstances during the past decade – including numerous concessions and renegotiations on our part – led to development rights in the JDZ being legitimately awarded to ERHC."
this cant be good in strengthening US/Nigerian relations
IMO
Related - Indian firms eye Devon's W. Africa assets -
Mon Jul 9, 2007 6:48AM EDT
NEW DELHI, July 9 (Reuters) - Four state-run Indian oil firms are weighing up whether to enter the race for some of the West African oil and gas assets held by U.S.-based Devon Energy (DVN.N: Quote, Profile, Research), sources close to the potential bids said on Monday.
A source said exploration firm Oil India Ltd. and refiner Indian Oil Corp. (IOC) (IOC.BO: Quote, Profile, Research) were jointly evaluating data for a possible non-binding bid for Devon's Angolan assets and "would submit a bid if the data meets expectations".
Meanwhile, Hindustan Petroleum (HPCL.BO: Quote, Profile, Research) is planning to bid for the U.S. firm's Gabon assets, while Oil and Natural Gas Corp. (ONGC.BO: Quote, Profile, Research) (ONGC) is exploring bids for those in Nigeria and Equatorial Guinea, separate sources said.
The last date for the submission of bids is July 18.
Spokespeople at all four Indian firms declined to comment.
In April, Hong Kong's South China Morning Post newspaper reported that Chinese offshore oil firm CNOOC (0883.HK: Quote, Profile, Research) and chemical trader Sinochem Corp. were preparing to bid separately for the assets.
In January, Devon announced plans to sell all of its assets in West Africa to focus on operations in North America.
Devon said the properties had proved reserves of about 90 million barrels of oil equivalent at year-end -- about 4 percent of the company's proved reserves -- and were expected to produce about 11 million barrels of oil equivalent per day in 2007.
The assets put for sale are in six countries -- Angola, Ivory Coast, Equatorial Guinea, Gabon, Ghana and Nigeria.
The company said it owns interests in 16 blocks in various stages of production, exploration and appraisal in West Africa, most significantly an interest in the Exxon Mobil Corp. (XOM.N: Quote, Profile, Research) operated Zafiro field in Equatorial Guinea
The Indian government in December 2005 allowed IOC and OIL to look at jointly acquiring overseas oil and gas assets, and since then the two firms have bought stakes in overseas six blocks.
ONGC's overseas investment arm ONGC Videsh has an interest in 26 projects spread over 15 countries, while HPCL's exploration arm Prize Petroleum has a block each in Oman and Australia.
as we celebrate Live Earth Day
let's hope we can bring up only the sweetest light crude - and try for no oil spills along the way to the refinery
we will remember to turn off the lights on the RIG after we are done
we pledge to boil only enough water so the Rig crew can enjoy a nice tea after a hard day's work
finally when we cash in we promise to receive our brokerage statements on recycled paper as we ride our bicycles to the bank
Good news M will try to confirm with Addax
Done Red ... of interest
We are in "no danger" of losing assets, pecentages, deals with Addax or
Sinopec. That really annoys companies that thought they shouldv'e
done better in the region. Too bad.
The AG's report is sour grapes and, as we've seen, has little basis
in fact. It may well have prompted the investigations, which will
ultimately prove that ERHC as a company did nothing improper.
S. Freed on EF .... You have answered many of your own questions.
Keep in mind a few things:
1. ERHC was involved with Sao Tome long before the concept of a JDZ
and successfully negotiated and renegotiated rights into positions in
the JDZ as it was being contemplated.
2. Offor had nothing to do with the formation of the JDZ; that was a
much bigger political issue. In the wake of the dispute with
Cameroon over the Bakasi peninsula, Nigeria wanted to change its
profile on the international stage and co-operated with Sao Tome in
establishing the JDZ (I know this from a former lead negotiator for
Nigeria and a friend at the law firm Sao Tome used to assist in the
documentation). This was going on long before Offor got involved
with ERHC.
3. Having said that, with the possibility of getting a significant
interest in the JDZ as it was being formed and to probably be in
position to push the JDZ formation through faster, Offor seized an
opportunity. Offor definately accelerated the process. Nigeria
could have held on for many years against Sao Tome.
4. Offor, however, did not bet on being vilified by the Sao Tomeans
and NGO's that came late to the party. Nor did he bet on having to
renegotiate ERHC's interests while defnding the company from all
sides. Offor could not and did not do this alone. Along with the
very capable Chude Mba and John Colemen, he had many experienced and
well connected advisors that ran the negotiations, ran numerous value
comparisons on the different deal outcomes, handled relationships
with the government and regulators, got the stock back trading in the
US and generally made things stick in the US. Offor ensured the
local side was handled and that the company wasn't blindsided. Did
other higher ups in Nigeria press the US at high levels as well?
That is very possible, but I am not aware of it.
5. To be realistic, there was little out manouvering to be done in
the US. The options were solid and an arbitral award. The problem
was that XOM, et al could drag things out for years and wait ERHC
out. ERHC had nothing to play with - no cash, no assets to
leverage. Legally, we just had to hold on.
So, how did we survive? Offor's connections and work locally was a
significant part of that - he certainly pushed things faster that
they may have gone otherwise. I have never doubted that nor have I
ever attempted to belittle his contribution to the company. He took
risks, made things happen and has and will reap rewards. But many
others had a hand in it, especially in the US.
The AG's report is sour grapes and, as we've seen, has little basis
in fact. It may well have prompted the investigations, which will
ultimately prove that ERHC as a company did nothing improper.
If there was anything dodgy, it was Offor's own decision and related
to his own holdings (he could easily give or promise shares in
Chrome), but that is somewhat irrelevant to us. Investigation into
this is merely a near term annoyance for us.
We are in no danger of losing assets, pecentages, deals with Addax or
Sinopec. That really annoys companies that thought they shouldv'e
done better in the region. Too bad.
How do we survive the current problems? We hold fast and time will
reward us all. However, there are many things Offor and the Board
can do to make things easier for himself and more comfortable for the
rest of us.
Unless there is incredible pressure from the US authorities or he has
a desparate need for cash, I do not see him selling outright.
However, what is to stop him from selling his shares to another
company (and I'm not talking a major) for shares so he keeps the
upside? He then remains an interested and viable shareholder (make
that part of the deal) without the same problems. The only thing he
gives up the the Chairman's seat. What is to stop that company from
making a follow on bid for shares to the rest of us? If its a
company with credible management, experience in the region and they
come with a reasonable share bid, we'd really have to consider it.
The only way I'd sell is if I get to keep the upside - swap shares
for shares.
Electick, S.Freed gave a small update [below] on the latest developments behind the scenes - regarding any potential deals on the table - he seems to think any deals are stalled
In addition to pointing out for the first time SEO was separated from ERHC in the Press and hey what did you make of the STP Oil Minister saying 100 MM Bbls in JDZ BL 1 just the other day on STP TV ...
Can you offer any additional commentary ..
repost of S. Freed ...
"Unfortunately the momentum was halted by actions I can
only call illogical and short-sighted.
I think the "fun" is just beginning for SEO personally, however. The NY Times article was great for the company as it was a regurgitation of the same old issues that have been dealy with a thousand times before. It seemed to focus potential wrongdoing in both the US and Nigeria squarely on Offor. Correct me if I am wrong, but this is the
first time in any major publication that the company has been
separated from Offor in this way.
I don't see alot of fallout from the article on the company. Indeed, it may cause investors not knowledgeable on ERHC or the region to take some notice. That can only be positive.
I think it will add to the woes of Offor. That too may be positive
for ERHC shareholders.
When this is over, someone should write a book...but who would
believe it?
Cronyism & Corruption exists on both sides of the Ocean
Although we have won the first several hands dealt
We have a strong players at the table with lots of chips behind them
if they go All IN we better have the best hand
Electick, thanks for the impressive summary ...
I dont see how anyone can possibly have a descenting opinion
It's Crystal Clear - for all to hear
Happy 4th Everyone
Here's hoping next 4th we will really have more to celebrate in addition to our Independence
Ruby...
More trash talk ... As well as being a GoodWorks executive, Jeter is a board member of the Texas-based company ERHC Energy, which has been criticised for the way in which it obtained exploration licences in the joint development zone established by Nigeria and the Republic of São Tomé and Príncipe.
There is no legal reason why US lobbyists shouldn’t represent companies that seek to establish themselves within a country, as well as the country itself. They are entitled to do personal business with countries which have contracts with GoodWorks. But such relations, often opaque and irregular, can favour the pillaging of the resources that the people of Africa need so badly.
too Funny after that 8% report the JDA official goes on TV and says JDZ B1 has over 100 million barrels
and says CVX Manager Tim Parsons was misguided
Rafael Branco: "The fiscal regime should move the oil-producing" 2007-07-02 19:16:59
http://www.jornal.st/noticias.php?noticia=2816
Saint Tomé - THE National Agency of Oil of Saint Tomé and Prince received a seminary about the economy of the Oil destined to the technicians of the agency and of others sectors of the central administration of the State. Second Rafael White the fiscal regime of be beneficial for the State, but does not must "scare away" the oil-producing companies. The event fit in the scope of the study for conception and development of the model económico of the oil-producing exploitation in the zone económica exclusive of the archipelago and is going to inform the participants of the strategies of oil-producing negotiation.
It oriented by the firm AUPEC-Aberdden University Petroleun Economic Consultants and $ with the technical aid of the World Bank also was administered by the Consultants John Symons and Gerardo Artiaga.
Rafael White, director of the department económico of the agency, in his intervention said that was second seminary of the género it to be performed.
"It is the end of the trial of formation that had beginning since Monday", said Rafael White increasing: "It was destined to the charts of the agency and we find for well in the last day open part of this formation to other persons, especially to the economist and persons connection to fiscalidade".
"We did initially a formation about the prospectividade of the oil, all the formations are part of a plan of work that is part of strategic objective that the agency set for the trial of exploitation of the oil in S. Tomé and Prince".
Second Rafael White "speak of the economy of the oil is speak of the costs that are involved in the exploitation, in the research and in the output of oil".
This fear that is related with taxes, profits and a fair compensation that the State should obtain of the companies that anger explore the oil santomense.
"That is an equilibrium that has sought-after with a lot caution and intelligence", increased Blank that underlines: "itself the State is going to receive a lot can create incentive the company for come to explore, to only way of us we will benefit of the oil is going to obtain that the companies are going to explore the costs involved in the exploitation of the oil are very high, already there is equipment that cost four biliões of dollars and with that the companies do his calculations económicos and even though have oil the profits that they think Of these exploitations do not be sufficiently attractive they simply do not put in office" and highlights that not "is motive of desmotivação".
"The Government should have attention that does not be able to, bigger part of his wealth does not go for outside, an equilibrium that itself is going to obtain through the construction of a fiscal regime that be beneficial for State but that scare not away the oil-producing companies" said Rafael White.
Wow Homeport - thanks - now that's more like it
DO you have a Link for that news ????
Onliner says it "knows" that CVX's Obo-1 found oil in "excess of 100 million barrels," noting that eight other explo. wells are to be drilled in "promising" B-1.
ART its like if you mention 9/11 and IRAQ in the same sentence enough you'd think the 2 were related
Funny how after 9/11,
50% of Americans thought they WERE related
All that matters is .....
"Whatever the case, ERHC has emerged thus far as the biggest winner in São Tomé."
Kinda Like how Haliburton is biggest winner in IRAQ
the NY Times Just Changed the title on line
FROM...
No Oil Yet, but African Isle Finds Dealings Slippery
http://www.nytimes.com/2007/07/02/world/africa/02oil.html?_r=2&hp&oref=slogin&oref=slogi....
TO... On African Isle, Oil-Related Corruption Before Oil
ERHC Blog Update + Response NY Times
http://www.erhc.blogspot.com/
RESONSE
From: "Joe Shea"
To: "NY Times"
Sent: Monday, July 02, 2007 4:27 AM
Subject: Error in Sao Tome story
My Response to The Times
Sir Emeka Offor is not under investigation
in Nigeria for insider trading, and there is no
evidence other than your statement to suggest he is.
The SEC was part of the FBI warrant that
led to the search of ERHC'soffices in Houston. That
occurred over a year ago and no such information
has been forthcoming since then.
A newspaper clipping was the sole content of the "William Jefferson"
file in ERHC Energy's Houston office. Indeed,
while ERHC is a small player, it is that
fact and not the unsubstantiated charges you
aired that ought to be examined in light of
the many big players ERHC competes with.
I write a blog about ERHC Energy called
"ERHC on the Move." As far as I am
concerned, you missed the forest for the trees.
The fellow who did the investigation that led to the
Sao Tome Atty. Heneral's report was R. Dobie
Langenkamp, who as head of the Tulsa U School
of Law is closely associated with corporate counsel
for all of ERHC's competitors in the Gulf of
Guineau.
It was paid for by George Soros, who
took a major position in ERHC's former partner in several
Gulf of Guinea blocks, Pioneer Natural Resources.
Chevron, ExxonMobil and Anadarko were the big losers in
the licensing round, and they have exerted all their
collective influence behind the scenes to get the
awards revisited. That has been assisted by Dobie
Langenkamp's close friends (and former students), Judy
Pensabene - chief Republican counsel for the Senate
Energy Committee - and Gregory Pensabene, her husband
and chief government lobbyist for Anadarko.
The
big oil boys have called all the shots on this story, and
you are either too slow or too scared to see it. The
reason this story is coming out now is because of my piece
on the informant in the William Jefferson case, which
dramatically undercut the probative value of her testimony.
Cordially,
Joe Shea
http://erhc.blogspot.com
07/02/07 ERHC in the NY TIMES
No Oil Yet, but African Isle Finds Dealings Slippery
http://www.nytimes.com/2007/07/02/world/africa/02oil.html?_r=2&hp&oref=slogin&oref=slogi....
decade ago, geologists found signs that one of Africa’s least-known countries, the tiny island nation of São Tomé and Principe, might hold a king’s ransom in oil.
Small Nation, Big Oil Prospects The first drop of oil has yet to be produced. But these days, little São Tomé may have attracted ample supplies of something else, federal investigators suspect — oil-related corruption.
All of this might not seem unusual in Africa, where oil and corruption often go hand in hand. However, São Tomé, a former Portuguese colony off the coast of Nigeria, was supposed to be different. In recent years, a steady stream of activists like the Columbia University economist Jeffrey D. Sachs have gone there to try to make sure that any energy boom would benefit its 150,000 people, rather than politicians and companies.
“Oil can be a blessing or a bane for a country,” Mr. Sachs said. “The theory was to help São Tomé avoid the resource curse.”
Things, however, have not quite worked out that way.
The recent Justice Department indictment of William J. Jefferson, a Democratic congressman from Louisiana, contends, for example, that he solicited a bribe from a company seeking his help with an oil-related dispute involving São Tomé.
Separately, federal authorities are investigating a small Houston-based company whose only assets are large holdings in São Tomé to determine if it bribed the country’s officials. On another front, a powerful Nigerian businessman who is the chairman of the Houston company, ERHC Energy, is under investigation in his country for possible insider oil dealings.
All those involved — Mr. Jefferson, ERHC, and that company’s chairman, Emeka Offor — deny that they did anything wrong.
Still, the experience of São Tomé, a poor country that supports itself by selling cocoa and commemorative stamps featuring celebrities like Elvis Presley and Brigitte Bardot, shows how just the hint of oil can set off a scramble for riches. Along with Mr. Sachs, those who sought to help included George Soros, the billionaire turned philanthropist, and a high-powered Washington lawyer, Gregory B. Craig, who defended President Bill Clinton during the Monica Lewinsky scandal.
“In West Africa, the scent of oil alone may be enough” to produce corruption, said Joseph C. Bell, another Washington lawyer who has traveled to São Tomé to work on new oil laws.
At the center of the São Tomé story stands ERHC, a tiny company whose ranks have included a collection of characters and politically connected entrepreneurs like Mr. Offor. According to a 2005 report by the attorney general of São Tomé, Mr. Offor is one of the largest donors to Nigeria’s ruling political party and a close ally of Olusegun Obasanjo, who until recently was Nigeria’s president.
São Tomé’s unusual journey through the backwaters of the oil industry traces back to the mid-1990s, when ERHC arrived there. Large underwater oil deposits had been found nearby, off the coast of Nigeria, and ERHC believed that the tiny island might be the next big prize in west Africa.
At that time, the Texas company was owned by some wildcatters and an enterprising Florida businesswoman named Noreen Wilson. Over the years, she has been involved with several penny stock companies including a short-lived enterprise called Pizza Group Inc.
In 1997, Ms. Wilson signed a $5 million contract that gave ERHC, which was then known as the Environmental Remediation Holding Corporation, exploration rights in São Tomé for 25 years. The contract was soon described by some outside experts as extremely lopsided.
Soon afterward, Ms. Wilson resigned from ERHC during an investigation of the company by the Securities and Exchange Commission. But she appeared to retain an interest in the island’s future; in 2001, for instance, she apparently reached out to Mr. Jefferson for help there, his indictment suggests. At that time, São Tomé’s new president was threatening to break a number of oil-related deals, including ERHC’s.
Ms. Wilson, who declined through her lawyer, Joseph A. Artabane, to be interviewed for this article, is not named in that indictment. But the filing describes how two unnamed people, a business executive and a lobbyist, went to see Mr. Jefferson about an oil-related dispute on São Tomé. In return for a promise of help, Mr. Jefferson demanded that a family member receive benefit, a demand that was met, the indictment states.
Mr. Artabane, who said that Ms. Wilson testified before the Jefferson grand jury, declined to confirm that she was the executive involved, but he did not dispute it either. The lobbyist involved was James P. Creaghan, according to his lawyer, E. Barton Conradi, who said his client has cooperated throughout with authorities. Mr. Creaghan worked with Ms. Wilson during that time. (Neither of them has been accused of wrongdoing.)
Meanwhile, wheels were already spinning in São Tomé when activists like Mr. Sachs, the economist, arrived. Their mission: To prevent it from following in footsteps of other African countries where corruption and waste typically follow oil. In Nigeria, the continent’s largest producer, most people live on less than $2 a day while politicians have stolen or squandered billions.
Initially, hopes were high. Soon after his election as president, Fradique de Menezes, a cocoa plantation owner, vowed that his country would be different. And he turned for help to outsiders like Mr. Craig, the Washington lawyer who represented President Clinton during his impeachment trial.
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Multimedia
Graphic
Small Nation, Big Oil Prospects But Mr. Craig, like others who followed him, found himself facing some powerful adversaries: Nigeria and Mr. Offor. In 2001, Nigeria had jumped in the picture when it signed an agreement with São Tomé to share oil revenues from waters between the two nations. Mr. Offor, the ally of Nigeria’s president, bought ERHC, which was then near bankruptcy, just a few days before that agreement was signed.
Mr. Craig said that while he successfully renegotiated contracts with other oil companies in São Tomé, Mr. Offor would not budge. “The metaphor of David versus Goliath doesn’t quite capture the relation between São Tomé and Nigeria,” he said. “It’s more like an ant.”
In time, ERHC did agree to some changes in its contract, but the company retained extremely favorable terms, including the right to choose among the best oil blocks without paying the type of special one-time fee that governments typically demanded.
Mr. de Menezes continued to seek assistance; in 2003, for instance, he reached out to Mr. Sachs.
“He called and said, ‘Look we’ve found some oil and the sharks are swimming around us now, and I’d like some help to manage this properly,’ ” Mr. Sachs recalled in a recent interview.
As part of that effort, a Columbia University team and others helped draft a new oil law that contained safeguards to make sure São Tomé spent its oil-related revenue properly. The team then traveled around the country, holding meetings on cocoa plantations and in churches, where they explained to residents how the new statute would protect their interests.
“Imagine what would happen if there was a big flood that hit us,” stated a cartoon-like booklet that they handed out to residents. “The oil law creates a dam.”
By late 2005, however, a report by the attorney general of São Tomé delivered a dose of reality. Among other things, it found that some companies that won blocs in the zone controlled jointly by São Tomé and its neighbor were headed by Nigerian businessmen with political ties but no oil experience.
The bidding process “was subject to serious procedural deficiencies and political manipulation,” the report concluded. In addition, the report found some large multinational oil companies were so suspicious of ERHC that they decided not to bid and added that ERHC “may have made improper payments to government officials.”
ERHC has disputed those findings and said in a statement that it received its rights legitimately and that it has also made numerous concessions to São Tomé.
“We care about perceptions of ERHC Energy and we have been working to fully understand any concerns expressed about our activities,” the company said.
The attorney general’s report may have precipitated last summer’s raid on ERHC’s Houston offices by the F.B.I. Among other things, F.B.I. agents took a file marked “William Jefferson,” a reference to the Louisiana congressman, a publicly filed subpoena shows.
Dan Keeney, a spokesman for ERHC, said that the company was not aware of “any facts to suggest that the U.S. government investigation of ERHC is in any way related to the ongoing investigation of Congressman Jefferson.”
Whatever the case, ERHC has emerged thus far as the biggest winner in São Tomé. Over the last year, it has sold off various rights to its holdings in São Tomé, making tens of millions of dollars in the process.
As for the reform effort by Mr. de Menezes, the country’s president, he has been far less publicly vocal over the last year, outside consultants said. Mr. de Menezes, who met on several occasions with Mr. Jefferson, did not respond to repeated requests to be interviewed for this article.
Despite earlier predictions of vast oil finds, it is unclear whether waters off São Tomé will ever produce oil in commercial quantities. Last year, Chevron drilled the first exploration well there but failed to find much oil and, for the moment, has no immediate plans to drill again. ERHC said that it and a partner planned to drill next year.
The new oil and anticorruption statutes drafted by consultants like Mr. Bell, the Washington lawyer, have become law. But with all the obscurity and intrigue that has now descended onto São Tomé, he, like others, question if it will make any difference.
“The game is not lost yet,” Mr. Bell said. “But it is a very uphill game.”
I think we could have a bounce this week
seems like ARCA may be gone and hence the overhang selling pressure
Everyone practically is selling here at a loss
Drilling 1 yr out BL 2,4
STP EEZ Q1 2008
BL 3 2008
I believe the DoJ/SEC are already priced in - this may drag out for years - so like IRAQ we must get used to it
I believe our rights are intact - SEO could face a class Action against shareholders in which a management shakeup would be welcome, a Board of Directors shuffle would also be good
perhaps we get lucky with the RIG coming sooner
Buy Low - Buy when the pps looks like crap and it does
Its time -
Its a whole new ball game when the JDZ makes a significant discovery or 2
and the REAL CVX numbers surface
there will continue to be this power struggle with Big Oil wanting to keep the hype down and the Gov't want to get the hype going
BB there are never firm dates in the Oil Biz
- we know this by now
the Caution statement could mean sooner or mean later
just means timelines could change
Homeport it's all good ...
"18 prospective hydrocarbon zones"
The specialists were almost unanimous in relation to the probability" of finding oil in EEZ
BB Could this Mean Addax gets the RIG Sooner ???
BB - is the owner of the Aban Abraham a public company
surely they could tell us where the Rig is and where it's going
ARCA Gone - poof !
9:30 am MM ARCA Gone from the ASK
(the Big Seller last 3 days)
update 9:55 AM ARCA is BACK at .30 Top Ask
MM ARCA sure is stubborn on the ASK [last 3 days]
recall ARCA led the short rally last week to $0.355
you dont suppose he was a net seller all the while ?
this board + RB board over the past 7 years has read every article, newsletter, opinion and PR on the dealings of our company its associates, partners and developments,
surely we would have come across a link in past years - there is NONE -
NO SMOKING GUN on WJ or any Gov't official.
I have a WJ file in my desk too - so what - its just a collection of articles, nothing at all, meaningless
the SEC crap on SEO is the story of the day, thats why it appears the DoJ is laying low for now on us, all IMHO
The Biggest story of the year is Paris Hilton's release from Jail - now thats REAL news
Electick thanks - if you are a betting man [I assume you are because you are still LONG here]
Q: does SEO take a deal prior to drilling ? to avoid all this heat, or will he stick it out and roll the dice ?