ERHC Energy Inc (ERHE)

[Homeport]

EEZ News: FYI, I've just scanned/read through the new Oil Framwork Law for 2nd time - all 18 chapters, 85 articles. Nothing struck my unpracticed eye as new in terms of what we'd already gotten via media and ANP chairman Prazeres' intrvu with Tela Non (see msg I'm responding to).

Of prime interest to us, IMO, are Chapter IV on Rules and Process for Auction and Chap V on State Participation. All EEZ blocks to be offered in auction; "direct negotiations" allowed in 2 circumstances (no bid, unqualified bids). STP reserves "right to participate" in exploration/development in terms established by awards/PSC contracts. (Prazeres said this could be 10-15% interest.)

National Petroleum Agency (ANP) given the authority to organize, carry out auctions (Prazeres said 4-6 blocks likely in 1st round expected towards year end).

There's no mention of ERHC or EEL rights or EEZ pecking order. No details given on how auction(s) will proceed. So the uncertainty as to when and exactly how ERHC (and EEL) will exercise its picks remains unclear - at least to me.

I also got copy of new oil tax law, but have yet to read. Not really my cup of tea. Wouldn't it be natural for the company to put out some reaction/explanation once it digests the meaning/signficance of the new law? I would think so.

Join me in wishing STP a Happy Birthday - 34 years of independence today!

Bests,
HP