Some seem quite confused when describing ERHE in her Past, Present and Future Business Model by Proclaiming her a complete failure as an Oil Exploration Company Operating in the Oil Patch are completely wrong.
ERHE is just a "Hydrocarbon Property Holding Company" with Very Valuable Assets in some of the Hottest Hydrocarbon Properties in the World and that is the Best Way to describe their Activity in the Oil Patch.
There are "Free Carry" Hydrocarbon drilling contracts signed between Mid-sized and Large Oil Exploration Companies around the world every year.
These Mid-sized and Large Oil Exploration are the Operator's of these blocks and MAKE ALL THE DECISIONS AS TO WHEN, WHERE AND HOW TO DRILL ANY AND ALL HYDROCARBONS TARGETS IN THESE BLOCKS.
These Small Hydrocarbon Holding Companies lack the required Skill, Knowledge, Experience and most importantly the "Cash on hand or Financial Backing" to conduct such Oil Exploration Activities, this is why they seek out Qualified Oil Exploration Companies to conduct this work.
Let us not forget that these Mid-sized to Large Oil Exploration have No Illusions about the Risk that they Take on from drilling Dry Hole, Non Commercial discoveries and possibly, not getting Financially Reimbursed by the Small Hydrocarbon Holding Company that they were carrying. Also let us not forget that the Operators does not get Financial Reimbursement from the Host Country for Carrying that Cost as Well.
ERHE is not by any stretch of the imagination an Oil Exploration Company. So, Any and All Failures by the Operators to find Hydrocarbons in the blocks that were drilled are the Responsibility of the Operators in those blocks.
In Closing, just Imagine how much ERHE stock could be worth if it could secure a 5% Free Carry in 12 Deepwater Blocks that Total Fina would operate.
Please conduct your own research in case I am Mistaken.
Sneak-attack
