ERHC Energy Inc (ERHE)

[midtieroil]

A dime would mean a $300 million market cap. ERHC won't get to a $300 million dollar market cap no matter what kind of deal they sign. They would be lucky to get to a penny. They probably won't get to .10 even with a discovery because they will own under 30% of a single block in Kenya with no other plans to drill elsewhere for years at best.

Unfortunately, since management bought shares recently it is unlikely that a deal is even close to happening because it would be a violation of inside trading rules.

No drilling until at least Q1 and a good likelihood that the drilling date will slip back because that is what happens in Africa.

In the mean time convertible debentures will likely continue to be issued with a good possibility of a reverse split and/or an increase in authorized shares. I'm expecting substantial additional dilution going forward. That about sums up the real situation.