ERHC Energy Inc (ERHE)

[Julius Erving]

Sfreed on 3D seismic

Re: 3D seismic


Unfortunately 3D takes very sophisticated computers and software to
interpret that I don't have (neither do big oil companies, which is
why they use companies like Schlumberger, etc). The software is
constantly updated to pinpoint potential closures and differentiate
between oil, gas, water, etc. You can reprocess the same data many
times as the software gets better to get more accurate results.

If you look at Equator's reserve report released in January of 2007,
Netherland, Sewell reported that there was total gross unrisked
recoverable reserves in Block 2 of 1.35 billion barrels of oil.

In January of this year, Addax reported reserves for all their
blocks, also prepared by Netherland Sewell. They didn't break out
block by block, but I calculated Block 2 as having 2P unrisked
reserves of 1.87 billion barrels and 2P risked reserves of 800
million barrels of oil. I would expect that much of the increase
could be attributed to refinements in the software used to process
the existing data. We know that Addax would not have shot its own
data, they purchased it and had it processed for their purposes. We
could do the same but have been probably held back by the lawyers.

The colors are lovely for presentations and websites, but don't
really mean much.