JDZ Nigeria-Sao Tome e Principe

[balance_builder]

I'm one of the few that continue to believe we'll see significant events occur with our minnow BEFORE DRILLING. BEFORE DRILLING. Whether its buyout, buyin or major new partnership(s) still waits to be seen. I still like the month of January (yes, this very month....and yes, I realize today is the 16'th of January) to see major developments begin to surface for our investment.

Here's a line of thought worthy of consideration.....



Recall this excerpt from an older article:

"Brazil's national energy company Petrobras finally has demonstrated interest in the upcoming oil exploitation offshore São Tomé and Príncipe after having been invited to the country for years. Petrobras, which already operates in neighbouring Nigeria and Equatorial Guinea, sent a delegation to negotiate business terms with São Tomé authorities.

The Petrobras delegation went to the fellow Portuguese speaking archipelago before the weekend and had talks with São Toméan Natural Resources Minister Luís Moreira da Silva. The aim of the talks, Petrobras representatives told the news agency Pana, was to "effectuate businesses as soon as possible."

After the talks it however remained undisclosed how Petrobras was to enter in the São Toméan oil sector. Although invited by the government, Petrobras has so far not participated in any bid round to explore or exploit oil in São Toméan waters. There were also no tenders from Petrobras as seven oil blocks in the joint development zone shared by Nigeria and São Tomé and Príncipe last year were offered to international oil companies."
http://www.afrol.com/articles/14591


One of the first indications that PBR was interested in Sao Tome's oil potential.


Here's are some further older comments from the Sao Tomes presidento Menezes which boldly states how Sao Tome feels about their brother....Petrobras:


"STP News: Menezes says Brazil's Petrobrás the company most interested in seeing STP oil law changed, according to Vitrina.

The onliner carries presidential comments similar to Tela Non's, but adds that the greatest pressure for law's change has come from Petrobrás.

Menezes: "We've had this appeal (for law's alteration), above all from a worldwide giant, the best oil company in the world, Petrobrás."
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=26502335

(note: do review the above link for further relationships already established between SEO's Chrome and Petrobras)

The same above mentioned articles gives theory of how Petrobras might get involved in Sao Tomes oil interests:


"Petrobras is believed to enter the São Toméan market in cooperation with Chinese partner oil companies that already operate offshore the archipelago."
http://www.afrol.com/articles/14591


Next we have recent Petrobras/Sao Tome news posted up via Homeport:

"STP News: FM Minister Tiny held talks today in Rio with Petrobrás int'l dept and was to meet with Brazilian National Petroleum Agency later in day to discuss bilateral cooperation - Lusa agency.

After Petrobrás meet, he said: "I believe we'll advance in a framework of collaboration in the EEZ and the JDZ. Everything is open."

Mentions "strategic partnership" in EEZ, oil "technology transfer" and training of oil pros.

Tiny said the discussions would continue at "other levels." PM Branco expected in Brazil on visit during Q1."
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=34851154

It is most important to note that the above mentions Petrobras involvement in the JDZ as well as the EEZ. Will a new operator be found for blocks 5 and 6....or maybe something even larger that that?????


Further establishing Petrobras serious linking to Sao Tomes oil interests are these lines from this fresh piece of news:

"STP News: Islands see Brazil as 'strategic partner' on oil, development fronts - FM Tiny

Rio de Janeiro, Jan. 15 (Lusa) - Sao Tome and Principe count on Brazil to be a "strategic partner" in the Gulf of Guinea islands' bid to become an oil producer and a "services and business platform" for that West African region, the country's foreign minister said Thursday.

Carlos Tiny, who is on a nine-day visit to Brazil, told Lusa he planned to discuss the possibility of future oil exploration operations in the islands' Exclusive Economic Zone with Brazilian major Petrobrás.

Sao Tome has repeatedly said it wanted to set up a so-called "Lusophone consortium" with Petrobrás, Portugal's GALP and Angola's SONANGOL to explore its vast EEZ for the first time.

"The oil industry is robust in the (GoG) region", the STP foreign minister said. ""We have oil in our deep waters and we think Brazil has the technology, know-how and political will to cooperate".
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=34835402



A couple of exceprts from the most recent 10K retain my attention because they're newer comments made by ERHC management:

"The Company plans to diversify its business activity by pursuing other growth opportunities possibly including acquiring revenue-producing assets in diverse geographical areas and forging new strategic business partnerships and alliances."

............and............

"The Company believes that the Participation Agreements that it has entered into will be its primary source of future revenue however, we are looking for other investment opportunities."

...........and............

"The Company believes that the Participation Agreements that it has entered into will be its primary source of future revenue however, we are looking for other investment opportunities."

..........and............

""We are also pursuing other business development activities in the broad petroleum and related industries."



Oddly, there are rumors of EEL's obscure participation in a Nigerian refinery.


Ok...where could this all go? We know the Sao Tomeans went to bat with their law makers to change the laws of how their oil interests will be dished out. Old law stated it had to go by way of public oil auction. Here's another fresh excerpt of news from Sao Tome which leads me to believe that Sao Tome can now issue blocks thru direct negotiation instead of public auction:

"STP News: "The document that was lacking" is now in hands of STP's National Petroleuum Agency (ANP) to allow movement on demarcation and auction of EEZ blocks, islands' "O Parvo" reports. Says Norway's Petroleum Geo-Services (PGS) has delivered 2D and 3D seismic database of 10,000 sq kms of EEZ territory to ANP.

The onliner quotes ANP-s technical director saying a @draft plan@ for demarcation of blocks is ready and preps being made to launch EEZ auction in @near future@."
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=34308222


So, we know Sao Tome is almost begging for Petrobras involvement.....and we know SEO already has business relationships with Petrobras through Chrome. We also know we are involved in fast tracked arbitration to confirm our interests in blocks 5 and 6 of the JDZ.


But...but....but....where does Oily's XOM fit into this picture? You don't suppose:


"With many exploration and production companies struggling to manage their finances, there is a ready pool of takeover targets, and those companies have been leading the exploration effort in several of the places where Exxon Mobil would like to grow, such as Brazil and West Africa," McMahon said. "We believe there could be the potential for game-changing maneuvers, similar to those seen back in the late 1990s."

A major alliance between Petrobras (PBR:petroleo brasileiro sa petro sponsored adr could work well for Exxon, on the heels of a huge need for cash by the state-run Brazilian oil giant as it seeks to develop rich discoveries in the Atlantic Ocean off Rio de Janeiro.'
http://www.marketwatch.com/news/story/exxon-mobils-cash-hoard-offers/story.aspx?guid=%7BCD3A310C%2D00B5%2D45EB%2D97F5%2D0CCC6A91FEFD%7D&siteid=yhoof


XOM wants to grow in Brazil and West Africa. Dot??? We'll find out soon enough. Events ARE taking place behind the scene. The time for talking is done......ERHC'ers want action quick and ERHC management is going to deliver that action. Wait....Peter Ntephe used those words in the last CC.

So, Sidewinder, I am sitting back waiting for the next step of the grand master scheme to take place. I can't help but recall the "whiteboard" information that clearly outlined Addax taking a % of ERHC. Is this still part of the master brain storm? Bring it on.....