Some people are never satisfied!
Let’s talk management for a moment. Whether you like it or not, if we hire a new, top notch, oil industry experienced CEO tomorrow or two years ago, the share price would virtually be the same as it is now (IMHO). Why? Because this is an asset play. ERHE has no proven until drilled.... Second, no institutional investors are going to purchase substantial positions in ERHE (OTC:BB) no matter who the CEO is (trust this opinion...I work for an institutional investor. Our company owns ZERO position in ERHE... I personally, own an over weighted position. If ERHE hired Lee Iococca, I still wouldn’t discuss it with my peers seriously….).
Now, the picture will TOTALLY change once ERHE has its first proven well. Then, and only then, will new management tell a new story. If ERHE goes out and hires a top notch, industry experienced CEO (non-Nigerian I might add...lol) after we have a proven asset, then it will be a sign that ERHE wants to build this company into something real. If they don't, ERHE is a buyout play....Plain and simple. Now, there are a number of different scenarios that could play out along the way such as hiring a new CEO and still selling off specific rights, etc. But, any way it plays out, ERHE should be at a substantially higher share price when this part of the story unfolds.
Then there are the short sighted people here who justifiably get all excited when they here the news that ERHE's partner, Addax, has successfully contracted one of the best deep-water drilling rigs in the world. Then, a few short weeks later, they are complaining about management that essentially brought that deal forward. I would bet that if ERHE share price was lingering around .60 instead of .30, they wouldn't be as short sighted. Management is doing their job for the stage of business that we are currently in.
People need to be realistic. ERHE now has a specific and reasonable time table (unlike the AA) for their first rig to be drilling in the JDZ. It is 6 months off (worst case scenario). They could surprise and get it earlier. On top of that, ERHE will likely have a total of 3 rigs drilling within the next 12 months (assuming the AA is seaworthy, lol and our block 3 operator brings their own rig to the JDZ).
Nobody knows when the share price will start its accent to the pre-drilling levels or how high it will reach after the first announcement of oil but if everyone really thought about it for a moment or two.... the timeframe is relatively short now (6 months) and the share price will most likely grow in multiples of it's current holding pattern.
For those who are frustrated now, may I suggest taking a break from the daily price watching and come back in three months (or six months if you really want a surprise). Enjoy the spring and summer. Take in a baseball game. Watch the college basketball championship tonight. Watch how Tiger does in the Masters this coming weekend. Go on a spring hike. Plants some flowers. By the time your tomatoes are ripe this year, you will be much more wealthy.
Life is good. Enjoy the ride.
