Replies to post #243142 on ERHC Energy Inc (ERHE)

[seek the light]

king....I see your point. But why did the company say they had been granted a development license from CHAD? Then in the chat PN went to some length to explain there had to be Exploration and after a time lapse a development program license would be granted based on the exploration company's formal plan of development. He was speaking in generic terms and not about any specific block, but the message was clear there was a progression over time to arrive at the point of a development license grant. So, was the reference to "Republic of Chad has formally awarded the company three oil blocks for exploration and development", in a different context?

All we have to go on is the language and you are correct it needs to be cleared up.

Taken at face value it could mean on Chari-Ouest 3, ERHC had done a farmin with CPC that lead to a Chad approval for a development license. I'm not saying this is what happened , but i am saying the language could lead one to think that had happened.

[Tamtam]

Would ERHC have 50% interest if they swap a percentage of one or both other blocks with CPC who comes in as operator? Just a wild idea

Tamtam

[seek the light]

King... Based on a portion of the article posted recently, i think CPC has 100% of the block but Chad gets 30% of any production. See below.

"The CPC said the quality of the oil found in Chad is superior to that of Brent crude. Based on the current world oil price of US$90 a barrel, the well Penoy-1 has an output worth US$9 billion. After the deduction of 30% production rights for the Chad government, the CPC stands to gain US$1.6 billion in net profits."

post #242601