ERHC Energy Inc (ERHE)

[oilman57]

This is pure speculation on my part. As I have no inside knowledge of this process. But based on the Portugese Newspaper article and putting it all together this is my guess as to what is transpiring.

I believe originally the JDA had slated ERHE to win operatorships in Blocks 2, 3, and 4. But when the JMC met there was disagreement over Block 4. Nigeria wanted ERHE/Noble and Sao Tome wanted Anadarko.

In order to resolve the problem a compromise was reached. (At least I hope so). ERHE/Pioneer win Block 2. But Block 3 operatorship would go to Anadarko. And Block 4 will go to ERHE/Noble.

My guess is since there was disagreement over Block 4. The Nigerians said ok, we will instead put Anadarko as operator of Block 3 if ERHE/Noble can be operators in Block 4.

So in essence ERHE gets operatorship of Block 4 after all, but loses operatorship of Block 3 in the process. Its called a trade-off.

Then the JDA makes Anadarko, Noble, and Pioneer all happy as each will have won operatoships.

Now the oil ministers from Sao Tome apparently just have to give their stamp of approval as do the Presidents.

Thats my take on ths situation. ALL IMHO.

(ERHE along side Pioneer, Anadarko, and Noble would look very good and will provide some nice PR's.)