ERHC Energy Inc (ERHE)

[Krombacher]

Good News or Bad News?

1) Sinopec completes purchase of Addax. Does that mean that there's less oil in the JDZ than thought and so Gandur's "option" is not executed? Why complete the merger just days before drilling?

2) Anadarko sells ( we think ) its operator rights in Block 3 to Addax. Why? Is it because they don't expect much oil? Or did Anadarko get one humdinger of a deal. On the other hand, if it was a humdinger of a deal, then it should be material and Addax should PR it. Finally, will Anadarko buy shares in Erhc as a hedge?

Krombacher