ERHC Energy Inc (ERHE)

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São Tomé and Príncipe regulations: New oil laws approved


Last Updated: 29 Oct 09
FROM THE ECONOMIST INTELLIGENCE UNIT

Under the new law an oil company can request direct negotiations with the government for any block that is not awarded in a public tender. Details of these negotiations must be made public and a period of 15 days given for other companies to express interest. If competitors do express interest, a fresh public tender must be held, but otherwise negotiations may begin. The new law also authorises the government to create a consortium with the national oil companies of other countries and through this to acquire stakes of 10-15% in blocks in the Nigeria-São Tomé and Príncipe Joint Development Zone and the EEZ. This should enable the government to pursue its long-held goal of creating a lusophone oil consortium, comprising São Tomé's yet to be created national oil company, Angola's Sonangol, Brazil's Petrobrás and Portugal's GALP Energia to explore for oil in the EEZ. On October 13th the prime minister, Joaquim Rafael Branco, visited the Angolan capital, Luanda, for talks about establishing a formal partnership with Sonangol in oil exploration.
http://www.zawya.com/printstory.cfm?storyid=EIU20091101235706296&l=151500091029


There's that blasted Petrobras listed again as part of the Lusophone consortium. Somebody better tell em about Kingpins article that shows ERHC instead of Petrobras as the team "in" the consortium.

Direct negotiations. Hmmmm....hide the JDZ results so your favored lusophone consortium is pretty much the sole interest in the EEZ?? Or maybe, this is how Petrobras enters the EEZ without partaking in the public auction?