"Would the payment of the blackmail be worth it? You bet!"
It would be to a trader with a short time horizon. A trader wouldn't care about the longer term ramifications of a "settlement". Make no mistake, with its Nigerian connections and the stigma that goes along with that, a "settlement" will be perceived as an admission of guilt. Considering that everything this company is, and everything it will do in the near future, can be traced back to one man, any perception of guilt will have long term negative impact. ERHC can't afford that.
So your answer; "You bet", is true for someone not intending on holding the stock for very long, certainly not past the drilling pop. For those with a vision that is longer term, those not willing to sacrifice the later for the now, a "settlement" simply isn't an option.
ERHC did nothing wrong to gain their rights. They talked with and worked for a country that oil majors wouldn't stop to p|ss on. They helped Sao Tome establish a treaty with Nigeria so it wouldn't be swallowed by its much larger neighbor. It was rewarded for its effort with what it has today.
Only traders like settlements. There's nothing wrong with that. It just is.
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