Replies to post #294955 on ERHC Energy Inc (ERHE)

[kingpindg]

condor, would you or someone...


mind providing a source for the information that the IOC is going to do some additional data gathering in Block 11/EEZ? I have seen this mentioned by a few posters but do not know why. It certainly does not say that in the ERHC PR.

Thanks.



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[nordicroots]

I can see where you are coming from on this line of thinking, and it makes sense if there was a desire to get some sort of share price pop from the announcement to offset the drop in share price that seems to have occurred with the conversion of notes. I guess it could also be all in the timing of events and how its all communicated. Someone else recently observed some of the same thoughts about how multiple things seem to be occurring at once after a period of not much news.

[Southern Man]

A lot of the locals like Ophir and such who have knowledge of surrounding blocks might have been notified ERHC was engaging Deloitte and didnt want someone taking their pot of oil without them having a shot at it. Btw, This isnt ultra deep water some of it is moderate this is the block closest to the Sao Tome islands. 3500 to 4000 wasnt it? Anyway, this Right of First refusal only gives the courtesy to an IOC to match or improve on any incoming bids for the block, its a good sign and may speed up development of the block. They may have paid for this option? or its a "long ago" promise to someone. imo

"Last winter, after careful evaluation of the seismic data available, ERHC selected EEZ Blocks 4 and 11 which, incidentally, are adjacent to the islands where water is not as deep as in most other EEZ Blocks. The comparatively shallow water depths should simplify drilling relative to the other Blocks. The Blocks are also east of the islands and close to Gabon’s many offshore oil discoveries.

Earlier in the year, Sao Tome's government short-listed four companies, including Portugal's Galp Energia, to bid on two oil blocks in its exclusive economic zone.

The close proximity of São Tomé & Príncipe’s offshore waters to the proven hydrocarbon systems in the adjacent waters of Nigeria, Cameroon, Equatorial Guinea and Gabon suggests the potential for hydrocarbons, which is further supported by regional seismic data and petroleum seeps seen on the islands.