Addax Petroleum (fka AXC)

[midtieroil]

Sorry but that article is complete BS. The shale oil and fracking component of the equation is amost completely ignored despite the fact that it is the single most important factor right now in both oil prices and deepwater drilling.

I have been hearing for decades about peak oil, that the world was running out and that oil prices and oil demand could only go up. None of that is true.

Fracking in the US is maturing but still has a long way to go. In the rest of the world it is barely being used. Electric cars will eventually cause a decrease in oil demand as will other forms of renewable energy.

Bottom line is that deepwater drilling will be around for a long time still. And it will likely increase to a more normal level from the depths to which it has fallen. But that will take years and I don't expect it to ever reach the levels it once attained.

So, if anyone is hoping that higher oil prices and increased interest in deepwater drilling is going to magically save ERHC, they are going to be sorely disappointed.

ERHC is years from drilling a well anywhere let alone in the deepwater offshore. Will Starcrest give away a large enough piece of their only producing property for some highly questionable, deep water offshore blocks? I sure wouldn't and I have my doubts that Starcrest will be that foolish either. Time will tell. But time is running out quickly.