After a while to think about it, here are my current thoughts about the Exile-Ooando proposed deal:
1] The most important consideration is what happens to the Akepo field. Is it part of the deal? Will the new company now once again have 40% of this field? We don't know the answer, but it may be key to how ERHC can be involved. PN's comments seemed to me to indicate ERHC's interest was mainly this Exile asset. If so, this proposed day may open avenues for ERHX to be involved.
2] Another point to consider is why would Ooando do this deal and why in a hurry? Boy, talk about interesting possibilities!
a} It makes sense in several ways for Ooando to want a public subsidiary they control to be able to participate in the explosion of interest in oil and gas E and P in Sub-Saharan Africa. Potential source of funds to quickly grow the company.
b} To enhance status and be able to do business in Nigeria.
c} With proposed management, the new company would have credibility with other and bigger companies doing business in Africa.
d} Maybe to do some business with ERHC. But i do not believe for a second that would involve ERHC placing some of their assets into the new company to be created. Maybe ERHC obtaining Akepo field or some other asset.
e} And others i have not thought of yet.
In any case, krom is wasting his time in trying to figure out what this means as to value of JDZ block 2 and the EEZ blocks. Not enough information to accurately do this or answer his question about market cap for the new company.
