Addax Petroleum (fka AXC)

[ssc]

While it might be soothing to indulge in pie in the sky fantasies about hitting the lottery or holding shares of a stock that rise by more than 56,000%, the current reality for erhe shareholders was summed up in a recent 8K, the only communication from the company in over a year:

The legal and ancillary costs of participating in the arbitration and advocating ERHC BVI’s position, have been significant and had a deleterious effect on the finances of ERHC BVI and of ERHC Energy Inc. which is ERHC BVI’s parent-company affiliate.

As of the date of this statement, ERHC BVI is actively considering, directly and by the auspices of its said parent-company affiliate, ERHC Energy Inc., several financing options for continuing the arbitration, including but not limited to funding by litigation-finance firms. There is no guarantee however that any of such options will come to fruition.

If ERHC BVI is unable to continue to pay for its legal representation and associated huge legal costs and/or does not prevail in the arbitration, the inability would have a fundamentally material adverse effect on ERHC Energy Inc.’s and ERHC BVI’s prospects, financial condition and operations.