Replies to post #170682 on ERHC Energy Inc (ERHE)

[YankeMike]

I'm not justifying anything. However, it is very possible that if the share price is in the $1.50 range later this year or next year, then a buyout at $4 isn't so far-fetched.
Proven oil reserves will cause our share price to go up! How much depends on how much oil drilling proves!
So what do you expect to happen?
Mike

[Spec29]

Anyone forcasting a buyout on today's prices...

doesn't have a clue what they're talking about.

With proven reserves, those 500% to 1500% premiums you are talking about are very reasonable.

Are you trying to justify that those buyout numbers will not be attained because of today's share price?

[petemantx]

If you cannot recognize ERHC as having exceptionally unique circumstances as to current assets vs potential assets in just a matter of weeks (after drilling), the fact that we don't have to make a market, convince customers about a new technology, have basically no overhead, employee costs, debt, etc. and the most important factor that both our main owner and the main acquisition company recognize the potential (yet highly expected) value of what we own so there will be no wool being pulled over anyone's eyes then continue to believe that our buyout price will be at most in the $1-$1.50 range.

My point is that you cannot compare the average company to the situation we have in ERHC with the unbelievable asset base we are about to tap and virtually no expenses.

Do more DD and you will see any ERHC deal will be far in excess of the normal business buyout premium. You have made your point of normal buyout premiums but to most posters you are comparing apples to oranges and making a weak case (IMO).

[bayfisherii]

SSC,

no one can say where this stock will end up or what (if it happens) a buyout price would be. But it cannot be disregarded that this stock could have an exponential rise in share price if an unusually large reservoir is found in one of the first 3 or 4 drilling portfolios.

Let me ask you a question, If an elephant size reserve was discovered in Block 2 (this is only hypethetical), where do you think our share price would end up at? Do you think that ERHC at that point having production rights to 2 Billion barrrels of proven Oil would only have a 113% gain or even a 200% gain. At 2 Billion Barrels the share price could quickly run to $14 or more or close to 2100%.

Point being you cannot disregard a significant runup any more than we can disregard an average premium of 113% to quote you.

BayFisher