ERHC Energy Inc (ERHE)

[tryoty]

schugs, it my belief that both are correct. Every plan of action in the JDZ has to be reviewed and approved by the JDA. If Addax has found and signed a ROO, the conservative thing to do is get approval from the JDA for the schedule change and then PR the rig schedule. If for some reason the JDA did not approve the change then the ROO would be non-material.

Gandur is playing conservative because of the Ike-ROO debacle.

I also believe that Mark's source is correct and Addax has a ROO signed contingent on JDA approval... not an uncommon out in many contracts.

The difference in the two scenarios is caused by Afritime. The JDA obviously has the change request and hasn't approved and returned it to Addax. In the years that I have been here this does not come as a surprise. Remember the "JDA" consists of rotating representatives from Nigeria and Sao Tome... and any time Sao Tome is involved, Afritime is likely to be an issue.

We have to wait for the JDA to meet, review, approve, and return the approved request to Gandur. In the U.S. such a feat would be accomplished before breakfast, but "we aren't in Kansas any more".

By the end of the week is likely, especially with the cat out of the bag already.

IMO.