ERHC Energy Inc (ERHE)

[Krombacher]

Hypothetical conversation:

Shell: ordinarily on a smaller find we'd announce what we have, but this find is so massive, it's like an ocean of oil extending across multiple blocks.

Hey, Total, since this hydro carbon kitchen is interconnected how about we give you a piece of the action in our block for some action in your block 4.

Total: that's a great idea given the massive amounts of oil involved. In fact, we were building a consortium and was hoping you would join. We need the consortium because given the ocean of oil, we need several multinationals chipping in so we can afford ERHC's price of $54 per share. After all, their valuation is based on the assets and not the stock price.

Shell: yeah! We're game, what are the next steps?

Total: Well when it comes to the EEZ, we like to be extra secretive. So the second you partner with us, you fall under the umbrella of this omnipotent all encompassing gag order... which bars you from leaking any information until we make our buy out offer of ERHC.

Shell: agreed.

The above is purely hypothetical and may not have happened.

Krombacher