ERHC Energy Inc (ERHE)

[Southern Man]

How to revive a moribund JDZ?
Sao Tome and Nigeria are trying to kick-start exploration in the joint development zone following the departure of the majors. And that won’t be easy with oil falling to $45.

http://www.africaintelligence.com/AEM/oil/2015/01/20/how-to-revive-a-moribund-jdz,108057491-ART

60 days ago.
What is ERHC’s current focus?
ERHC has come a long way from a passive-portfolio holding company confined to one set of offshore assets in the Gulf of Guinea. We’ve diversified the company and taken it onshore East and Central Africa where we have made it a veritable and respected operator in its own right. Our focus is on building value by using aggressive exploration work programs to mature our onshore assets.
What is happening currently in Kenya?
We operated Kenya Block 11A successfully, according to schedule through the carrying out of a Full Tensor Gravity Gradiometry (FTG) survey and the award of seismic. That was before a farm-in to CEPSA, which took over as operator earlier this year. With the conclusion of seismic in the Block and completion of work program requirements of our first exploration phase, preparation for drilling our first exploration well is currently going on at full steam. All this has been achieved in a little over two years, which is quite quick for such work programs.
What is happening in Chad?
In Chad, ERHC continues to be the operator in Block BDS 2008. We have just completed our aero-magnetic and gravity survey, which has enhanced understanding of prospectivity in the block and our assessment of our leads, previously estimated at 200 million barrels of oil (unrisked). We are currently preparing for the award of a seismic survey contract. Given the results of the magnetic and gravity studies, we expect the seismic survey to progress our leads to drillable prospects, in which case preparation for drilling will start in Chad too.
What are your thoughts about the recent decline in ERHC’s stock price?
ERHC’s leadership is focused as always on the company’s valuation. The drop in the price of oil on world markets, gradually from June and then more precipitously over the past three weeks, has drastically affected valuations of oil and gas E&P companies – particularly the smaller ones focused on pure exploration. ERHC is not unique in this and our challenge as management is to seek ways to alleviate the overwhelming effects of the external environment, even as we forge ahead in our work programs in Kenya and Cha