ERHC Energy Inc (ERHE)

[stocks2rise]

As we inch ever closer to the March 14th deadline of the infamous double extension it makes me wonder if Total is deliberately holding off on drilling Block 1 in order to put the squeeze on SNP for a chance at more acreage in the JDZ. Maybe the JDA will finally find their stones and make SNP declare or leave. Two years is more than enough to analyze Biogenic Gas or any other hydrocarbon they may or may not have found. Now that Total has entered the picture the JDA must realize they do not need SNP to develop the blocks. They needed a Major in the zone after Chevron bailed and they hung their hat on SNP. But SNP does not have the experience to develop the big field. Since they are no longer needed I do not see a further extension falling their way. I think SNP will go ahead and declare Phase II and announce their analysis has found there to be commercial hydrocarbons in the zone pending further drilling to verify their findings. They will not want to lose out to Total. They will stretch this thing out as long as possible. The two years they have used up is probably trying to decide which 25% to give up when they go to phase II. Then they have 2 years to drill one well on each block. That will allow them to see what Total comes up with and then decide if they want to continue.