I think that is much too optimistic. First of all you are assuming that Blocks 2,3 and 4 will contain 8 billion barrels of oil equivalent. You do realize that ERHE does not own 100% of blocks 2, 3, and 4. Its more like 20%. So even in the unlikely event 8 billion barrels of oil equivalent were found in blocks 2, 3, and 4 combined, ERHE only gets roughly 20% of that number. 20% of 8 billion barrels of oil equivalent = 1.6 billion barrels of oil equivalent. So ERHE would have 1.6 billion barrels of oil equivalent.
Proven reserves are valued around $6 per barrel. $6 per barrel x 1.6 billion = a $9.6 billion market cap.With 720 million shares outstanding that would put the price around $8 per share.
And that is assuming 8 billion barrels of oil equivalent will be found in blocks 2,3 and 4. I find that to be highly unlikely. The intitial reports make it seem as if 5tcf of nat gas would be optimistic for the 5 wells drilled thus far and 5tcf of nat gas only equates to 1 billion barrels of oil equivalent. Then mutltiply that by ERHE's 20% and it leaves ERHE with only 200 million barrels of oil equivalent based on the initial 5 wells which is obviously a far cry from your 8 billion barrels.
I realize they have more targets to drill but I dont see them hitting 8 billion BOE in 2,3, and 4 and even if they did ERHE only gets roughly 20% of that as they dont own a 100% percentage of each block. So in sum, this company will never be sold for anything approaching $20 imo unless of course they retain 80% to 90% of their EEZ blocks and hit some monster oil wells but drilling in the EEZ is quite a ways off but I dont expect them to retain 80% to 90%.