ERHC Energy Inc (ERHE)

[dbernet]

Art,

Quite a conversation, very revealing. Thanks for the post.

IMO also, AIM is the one. I have a couple of concerns though. A quick time frame would mean a lower stock price for the IPO, meaning a larger number of shares for the institutions involved. I am all for growing the company, but I don't want additional shares issued before we at least test Kina, and it would be better after the full 10 well program is executed. Right now our shares are extremely undervalued in my mind, and any dilution at values under several dollars a share will come directly out of current investors pockets.

Buying producing properties with shares may make us look a little better on paper(cash flow, PE, etc), but it is hard to believe that the shares is our current assets in the JDZ would produce assets of anywhere near the equivalent value in a producing asset. ERHC is the JDZ and EEZ assets. Trading our extremely undervalued shares for market valued producing assets is a major mistake. I would be very uncomfortable with a significant IPO before a run up in price.

db