Replies to post #342893 on ERHC Energy Inc (ERHE)

[Krombacher]

Yup...when is Shell drilling block 11? As you said, ERHC gets some upside on Block 11, even if it no longer owns it...so that should be money into ERHC's coffers even as the dispute on Block 4 continues or concludes.

Kromabacher

[Krombacher]

Kingpin and I have discussed whether or not the up to 15% option comes from STP or not and whether the upside in Block 11 is one of the options exercised by ERHC, since STP can have up to 15% of any block in the EEZ...

...but I'm thinking that ERHC's upside piece in Block 11 is exactly 15% based on this, which suggests that ERHC retains the 15% that would ordinarily go to STP:

A second payment of USD 100,000 into the National Oil Account of São Tomé and Príncipe was made on account of the transfer fee on the cession of 85% of the contractual position of ERHC to Kosmos Energy, in Block 11;

From the PwC report PDF page 18.

https://eiti.org/files/documents/eiti_relatorio_2015_english_version_final.pdf

Krombacher

[manuel06]

Nightdaytrader
wouldn't assuming Block 4 by Shell ( or whoever ), require acceptance by Sao Tome government? Shell's purchase of Kosmos's EEZ blocks were publisized, so, I would expect the same with this material information from Sao Tome government no?
maybe in the works though !