ERHC Energy Inc (ERHE)

[Krombacher]

The only thing that was hampering Total was Kosmos. The Total contract was signed by both ERHC and Total and consummated in 2017 as the 400 page court document shows as an exhibit in its entirety (minus the redacted parts).

With oil trading at crazy low levels, I believe it is very likely that Kosmos is struggling given that Kosmos still has a monthly debt payment it must make...and if it can't even sell its oil for a positive value, then how will it make its debt payment each month?

Given these dire circumstances, I believe Kosmos will walk away from its contract with ERHC and with the consent of ERHC.

Once out of the way, the contract ERHC has with Total will be the last man standing.

Total also knows full well that once the highly levered middle tiered companies struggle and potentially perish, the door will be open to hike oil prices back up without that competition keeping prices low...because that competition will be out of business.

This sets Total up very nicely for the EEZ as the dust settles, and it sets up ERHC even more nicely.

In fact, it wouldn't surprise me in the least if Kosmos has ALREADY walked away...leaving Total and ERHC to finally make an announcement in the "coming months".

Krombacher