Replies to post #170258 on ERHC Energy Inc (ERHE)

[midtieroil]

Actually the rig and rig workers don't know the whole story until the well is logged. Whatever "leaked" out on OBO-1 may have been what they thought was there but reality turned out far different after logging.

[petemantx]

My question is based on whether drill results can be skewed by the operator to fit their particular desires. Say a supermajor does not want to develop a field for the next 5 years, then it seems they would not report great finds and get the landowner (as Brazil, STP, JDA, Malaysia, Norway, etc.) anxious to develop right away. Then in 5 years when they are ready to develop the area, they sink a couple of new wells and "poof" the reserves are now deemed significantly larger than first reported. Just the opposite for small companies trying to maximize the impact of a new area.

Question had only to do with mgt, not the rig hands. I also asked as the expected reserves before drilling are all over the board, just wondered after drilling if everybody concurs on the reserves or if there is play for varying views regarding results. I realize it would be illegal for the operator to give false information to JV partners and the owning administrators (JDA) but just wondered if there are any grey areas such as where they let JV partners know results are good but give JDA a somewhat less optimistic report so that word does not leak out and they don't get screwed in the EEZ bidding because STP leaked a great find in Block 2 to everybody.

Not worried about this matter, just thought it was an interesting topic for message board fodder.