Replies to post #50840 on ERHC Energy Inc (ERHE)

[maestro224]

Exactly what I thought

But you put it so much better than I could have. FPSO is a fantasy at this point in the exploration process of Block 1. More bad info from oilphant and fishdog as usual. No surprise there.

[Manti]

Stay: "FPSO on B1" didn't have a time frame. It could also mean simply that with the results of obo-2 confirming obo-1 (both assumptions at this point) the decision has been made (or is being taken under serious consideration) to begin the steps necessary to secure an FPSO for B1... which would indicate that they're not going to sit on the JDZ for the future, but fast track it. I'll bet there's serious pressure to move forward with West Africa politically and economically.

[Fishdog]

STC, I'm not going to argue with you about the FPSO vessel because I don't have the slightest clue as to what the intent of Oily's message was. But it doesn't strike me as too relevant, thus a needless post, if CVX is going to take years to move in a production vessel. The way I would like to interpret it (if one is inclined to give Oily any credence whatsoever) is that CVX is "borrowing" a FPSO in the near term for a short period for full blown testing of the two wells which absolutely could be done, I believe, utilizing the 'Deepwater Discovery' that they have under contract until August. But consider that it makes more sense to do it while the drillship is buttoned up to the OBO-2 wellhead. I think the interesting question here is could CVX actually find and borrow, for a month or so, a FPSO in the Gulf of Guinea?

[petemantx]

If the find in Block 1 is indeed as large as many on this board have indicated, then it seems from your post that CVX will have to take 6 months or more to properly test it to confirm what they have before announcing any possible major find in the Block. I can see why they would not announce before being absolutely sure. As such, all the talk about announcements from CVX within a short time frame (and even before end of June as some have said) seems farfetched and bordering on pure BS.
I assumed that drillships were used only for drilling (due to their scarcity and cost per day) and that some other less expensive equipment could be used for testing wells. If not, then it seems a company would have to have the drillship for a year or longer to drill and properly test an expected major find. It just seems that there is so limited a number of rigs / drillships / etc. that that is the cause for the many years necessary to bring a big find to production.
I also infer from your post that Oilphant's FPSO statement is most likely bogus. As such, makes all his posts very suspect. Do I read you properly in thinking that the FPSO is totally impractical at this stage of Block 1 development?

[trade2much]

Stay the Course:
You seem very knowledgeable, and familiar with how the industry works. I for one am very gratful for that!

What is your best guess at a timeline for ERHE like in 3 month intervals over a few years until we hit and actually produce, assuming we don't get a dry hole to start.


TIA
john