ERHC Energy Inc (ERHE)

[oilman57]

<<oilman - the JDA probably has all the authority they wish to exert.>>

Ok Monkey so you believe that the JDA "probably" does ultimately have the authority to force Exxons hand if they want to. I agree with that.

<<The question is - are they willing to ignore the issues that XOM is arguing about?>>

What are the major issues? IMHO the major issues are that Exxon made a mistake by failing to bid for an operatorship in the second round and are now trying to rectify that mistake. IMO that is not the JDA's problem. If Exxon wanted operatorship they should have bid for one up front. If that is indeed the issue. Who really knows for sure? Certainly not I.

<<If XOM were to walk - what would be the ramifications for the JDA being able to signup anybody?>>

Monkey there are plenty of other companies eager to do business in the JDZ. Pioneer, Noble, Devon, Anandarko, and Conoil to name a few. If Exxon were to walk other companies would be eager to fill the void IMO.

<<After all - no cash in hand for JDA, yet.>>

True, but could they legally back out of a signed PSC? And if they do back out (which I doubt that they would or could) Im sure there are any number of companies willing to take their place.