ERHC Energy Inc (ERHE)

[Nightdaytrader]

Old Nigeria/STP JDZ article below however, there is a key statement where Nigeria reminds Sao Tome, "to respect oil contracts entered into through bilateral treaty arrangements."

ND9
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Obasanjo sinks JDZ round

Nigerian President Olusegun Obasanjo suspended the planned upcoming licensing round in the maritime joint development zone (JDZ) administered by his country and Sao Tome and Principe.
In a letter delivered to Sao Tome President Fradique de Menezes, Obasanjo indicated he would put the round on hold indefinitely until Sao Tome resolves all issues relating to third party contracts.
High-level Nigerian sources said the Sao Tome president had not been in contact with Abuja for several weeks, and that recent unilateral actions had been undertaken without consultation either with the Nigerian federal government or with the Abuja-based joint commission set up to handle the licensing round.
Local statements by Menezes made in Sao Tome and reported in the latest edition of New Yorker magazine have upset the Nigerian presidency, prompting the action. Menezes likened Sao Tome's relationship with Nigeria to that of Kuwait and Iraq, indicating relations had reached a critical stage.
A sealed letter to Menezes delivered by the Nigerian ambassador to Sao Tome insists that until greater clarity can be applied to the round, no progress on joint E&P activity can be made.
The move follows hard on the heels of last weeks putative accord between Sao Tome and ExxonMobil that, along with US explorer Environment Remediation Holdings Corp. and Oslo-based Petroleum Geo-Services, claims to have preferential acreage and revenue-sharing rights.
Sao Tome Minister for Public Works Rafael Branco said ExxonMobil had signed a side-agreement with his government to confirm rights to one block of its choice in the area.
The news angered Abuja, which has since attempted through diplomatic channels to impress upon Sao Tome the need to respect oil contracts entered into through bilateral treaty arrangements.
Sao Tome is also accused of reneging on treaty provisions solemnly accepted when a Paris tribunal ruled on outstanding disputes two years ago.
More than a month ago, all such contracts enshrined in the treaty were transferred to the legal authority of the joint commission set up to handle the round, and no one sovereign party can act unilaterally in the matter, leaving the ExxonMobil deal open to charges of illegality
The Sao Tome government has approached neither the Nigerian president nor the JDZ.
11/06/02
http://ogj.pennnet.com/articles/article_display.cfm?Section=ARCHI&C=TOPST&ARTICLE_ID=160747&...