ERHC Energy Inc (ERHE)

[balance_builder]

Dot Connecting, conjecture, thoughts, conspiracies, but maybe collaboration in the GOG.

Putting much of what we've read recently together, this is what I come up with. Let me preface this post by saying I wouldn't be quoting posts if I didn't think the posters had/have credibility. First, Richkans post where he said in part:

"SEO plans to add value to ERHC through a consortium of companies forming a new publicly held entity whereby ERHC becomes an integral part at a valuation somewhere below, but not far, Oilphant's <$6/share post, and in the process no longer will be ERHE.OB.

If I'm anywhere near right, this new entity would be a dominant force in the JDZ and Gulf of Guinea, as well as providing and offering the legitimate currency for major public investors. It would mark the beginning for extraordinary pps appreciation, even following the 20+ times "enhancement" soon to be enjoyed by current ERHE holders."
http://investorshub.advfn.com/boards/read_msg.asp?message_id=22454081

Then you have oilphants most recent post where he re-reiterates several of his past posts stating:

"Strat1: Yes, I have no worries about ERHC.
ERHC will not be ERHC by January."
http://investorshub.advfn.com/boards/read_msg.asp?message_id=24330477

Then we have Sfreed stating in part:

"Oilphant will be right (and no I dont know him); ERHC won't be ERHC soon. It may not be by year end, but not long after."
http://finance.groups.yahoo.com/group/theelephantfields/message/12037

.....what I see in common is the very strange verbage of "ERHC won't be ERHC". If ERHC was going to be sold, the verbage used would be sold or bought out. That is not the case. If ERHC was going to be bought into, it would remain ERHC so that also is not the case. Presto....Richkans newly formed spinoff of a company.

Furthermore, lets keep in mind what ERHC has stated on a couple of occasions: "ERHC will be a changed company next year". They go into NO details but a new name with several new pieces added to it would also create the need for additional office space, right? Wouldn't we also want an expert such as Ledbetter to look at each participant "presents" they throw into this new spinoff? Recall this oilphant message which he wrote in 12/06 and confirmed as still being applicable as late as 10/15/07:

"Merry CXOMAS all!
5 players 5 presents
Do we create a Chrome message board in the New Year?"
http://investorshub.advfn.com/boards/read_msg.asp?message_id=15778023

.....and when questioned if the 5 players 5 presents were still alive he responded in part last month stating:

"BB: 1.5by5 is still live.."
http://investorshub.advfn.com/boards/read_msg.asp?message_id=23680560

And how much did he (Oily) indicate the deal would be worth:

"$ < 5!/20" which mathmatically reads under $6.
http://investorshub.advfn.com/boards/read_msg.asp?message_id=22166545

Oilphant also gave us a heads up on what some of the other presents thrown in might be when he asked:

"BB:What could a minnow do with a 150 million?"

......and answers a question of what it could be used for in repsonse to Homeports question when he states:

"HP: buys producing wells in the shallow end of the pool."
http://investorshub.advfn.com/boards/read_msg.asp?message_id=23415164

Now...if Oilphant knew this spinoff of collaboration in the GOG was going to take place even back in 2006, we regrettfully have to take heed to this post:

"forewarned 1/10 rs"
http://investorshub.advfn.com/boards/read_msg.asp?message_id=20408224

Ok...now to try to fit it into a working, newly formed entity. We all know that ERHC has way way way too many outstanding shares so it is logical a reduction of shares would be a necessity. Oily's 1/10 post...or 10/1...makes sense. I would guess that one of the investment firms wanting a part of this action will buy up a portion of SEO's shareload and probably any shares that other investors want to cash out on. I would guess another player is going to pitch in $150 million dollars for a portion of shares at the co's new shareprice and these funds will go toward the purchasing of new properties...in the shallow end of the GOG.

Richkan thought of 20+X's enhancement (note: SEO recently publically mentioned he was working on enhancing his holdings) would put ERHC'ers at about Oily's predicted $6 sp IF...IF....IF...we climb to .30 cents from this point....which is within the range always discussed here "pre-drilling". Even Joe Shea long ago had this $6 figure.

Ok...assume at .30 cents we're halted. A "consortium of companies forming a new publicly held entity" is put to action, and ERHC shareholders are allowed to sell their shares of ERHC for a "about" $6 deal OR....OR....they can enlist 10 of their ERHC shares for one share of the newly formed company. This would put the start up price of the newly formed company at $60 if a 10:1 is put into play. Maybe less if SEO's shares go at a cheaper rate to get get this plan in motion.

Ok...now we have fair "current" value for ERHC along with a handsome premium for the long tiresome hold. We FINALLY get some new management to run the newly formed company with a stand up CEO/CFO that have recognizable names in the industry.


As far as to THE WHEN this could occur? Richkan stated in part:

"What I thought would take to two or three years to reach its potential has now taken five years, and it looks like next spring at the earliest for the big cat to be let out of the bag."
http://investorshub.advfn.com/boards/read_msg.asp?message_id=21187446

Oilphant stated "by January" (previously posted). And SFreed indicated indicated "It may not be by year end, but not long after".

A price, a timeframe and a very big deal. How big? If ERHC's throwing in its billions....how many others will do the same? I'm guessing this new co will operate the entire JDZ and quite possibly the EEZ. Maybe EEL will throw their interests into the mix? Somebody has kept them "under their thumb" as well. More importantly, they're updated strategy is to farm out their interests and they (the co) has indicated this should be in place by early 08. Hmmm...early 08...didn't we just read about this same timeframe earlier in this post???? Who else?? Didn't Richan also indicate in part:

"Further, I'd not be surprised to see the lamb lie with the lion."

When Addax and ERHC had to take the 9% Godsonic interest to arbitration with Addax, I got the indication ERHC wouldn't be simply swept up by Addax. A sweep away and this wouldn't be going to arbitration IMHO.

Who else might be involved in this collective effort? Here are some names to be thrown in as mere possibilities keeping in mind that oily mentioned 5 players:

CVX
Addax
EEL
AFREN
APC
Aramco
MPE (silent particpation due to WB's conflict of interest)
SNP
XOM??

Powerhouse. Major powerhouse with the potential to grow as Richkan cleverly stated,

"If I'm anywhere near right, this new entity would be a dominant force in the JDZ and Gulf of Guinea, as well as providing and offering the legitimate currency for major public investors. It would mark the beginning for extraordinary pps appreciation,..."

You tell me guys....would this be worth the wait? Would you tie your current shares into a company with this type of potential future earnings? There's more which ties in that some could have known about this for many many many months:

Addax has been putting together a team of experts for this exploration for a long time. Simply NOT just for the the operating of their sole block they operatate (B-4), but rather for the JDZ and probably EEZ. Chevron adds to the mix by putting their top guy on the Addax team "Jeffrey Schrull".

"The company is “building an expert, in-house, sub-surface interpretation and drilling technical team” after a year of acquisitions placed the company in deepwater at JDZ Blocks 2, 3 and 4 and OPL291 offshore Nigeria. Capital spending shot up during the year by 109 percent to US$773."
http://www.oilgas24.com/bm/Gas/Exploration_Gas/addax-affirms-deepwater-gulf-of-guinea-stake.shtml

Why isn't ERHC concerned? They don't need to be. Prior to any involvement in a deal of this magnitude, the Powerhouses would have to "clean" ERHC. To do this, a full scale government investigation would have to be put into play...ah....bring in WB's presence at the Houston office (he lives in Europe) for a freak coincidence as the FBI tears gathers up all 118 box of ERHC related materials. WB even talks with the raiders (without an attorney present). This cleansing was a step needed to move forward and also knowing it would justify the thumb on ERHC's sp by keeping out new money.

Will it be a posterchild type of new co including the Chinese, Swiss, United States and even the Saudi's?????

Certainly ERHC could now "stand on its own" and wouldn't need the assistance of SEO. Now with the worlds powerhouses running the show. Certainly CVX would drill off structure and then tite hole all the information they obtain and the early words of a massive find...largest ever....astonished....would be put to rest immediately.

I invite any thoughts regarding this "dot connecting" scenario. Even if you have no thoughts or nothing to add on how it could work, do you like the theory????