posted
Guess it is starting to hit the other wires now, look for gap up in the morning.
ERHE ERHC Forbes News AFX News Limited Nigeria, Sao Tome announce award of oil exploration blocks 05.31.2005, 08:48 PM
ABUJA (AFX) - Nigeria and its island neighbour Sao Tome awarded five major offshore exploration contracts in their joint offshore development zone to foreign and local energy firms, officials said.
The long-awaited announcement came at the close of a meeting of the leaders of presidents Olusegun Obasanjo of Nigeria, Fradique de Menezes of Sao Tome and Teodoro Obiang Nguema of Equatorial Guinea on security in the Gulf of Guinea.
Nigeria and Equatorial Guinea are already major oil exporters and with Tuesday's decision De Menezes will now hope that his island nation can join what could become a major regional oil boom.
'The important documents that Sao Tome endorsed today will bring benefits to all our peoples, who are the owners of these resources,' De Menezes told reporters after the bilateral and trilateral meetings.
EHRC Energy Inc, a US-listed but Nigerian-owned firm which had been controversially pre-assigned much of the acreage, was among the companies emerging with awards.
Along with its partners - US-based independents Pioneer Natural Resources and Devon Energy - EHRC will be the operator firm of the 692 square kilometer Block 2 and hold 65 pct of the equity.
It will also operate Block 4 with a 60 pct share along with another US ally, Noble Energy.
EHRC will also hold 25 pct of Block 3, and 15 pct of Blocks 5 and 6.
The US firm Anadarko Petroleum Corp will operate Block 3 with a 51 pct stake, while Virginia-based ICC-OEOC have Block 5 and the Nigerian start-up Filtim-Huzod takes 85 pct of block 15.
The rest of the equity in the various blocks has been sold to a variety of local and foreign firms including Nigeria's Conoil and India's ONGC Videsh.
The sale netted the two countries a total bonus of 283 mln usd.
Posts: 434 | From: NEBRASKA | Registered: Feb 2005
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posted
Congrats to all who are in.....I didn't jump in...guess I am just too gunshy with this one. Hope you all do well.
Posts: 529 | From: Tx | Registered: Sep 2004
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Thanks dishgal........I got to admit it's been a rough ride, but I believe from the top of that last hill I could see some great green ahead. The technicals are shaping up very nice as well. Ya got to love it when it all comes together.
Posts: 434 | From: NEBRASKA | Registered: Feb 2005
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AJman You absolutely gotta love it. Honestly, I never believed it would happen. I was really into ERHE for a year and a half, I hung on every word. When it ran up I sold and never looked back. Just lost interest. The people who stayed with it I am very happy for. Good luck in the future.
Posts: 529 | From: Tx | Registered: Sep 2004
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posted
I could use a good pick for tomorrow. Any ideas? I need more stress in my life after the roller coaster of the past 2 weeks. I don't know how to handle peace and quiet. LOL
Posts: 529 | From: Tx | Registered: Sep 2004
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posted
As happy as I am that the awards are finally here and we have the 2 operatorships, my wife is happier by many times over. Now she says that maybe I can start repairing some of the damage I did to the walls while taking out some of my frustrations from the ride. :-)
Posts: 434 | From: NEBRASKA | Registered: Feb 2005
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posted
dishgal if I knew of another stock with the potential of this one but also knew it was going to be as long and as rough of a ride, I would not recommend it to my worst enemy. I'm sure you know what I mean.
Posts: 434 | From: NEBRASKA | Registered: Feb 2005
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posted
It's still a great buy at these prices in case your interested :-),,,,,Just for old times sake I'll repost a quick and dirty valuation of the company from RB. I know you miss that board. LOL
Considering only the preferential rights, when figured as a percentage for the 9 blocks, ERHE has rights to 13.9% of the overall total. Geco has estimated 14.4b barrels of reserves in these 9 blocks only. These estimates are only considering 17 of the most likely prospects out of 56 tested in the 9 blocks. Therefore if the 14.4b is only based on 17 of the 56 we can assume that there is potentially more than the 14.4b. If the overall total interest (only counting the preferential rights now) for ERHE is 13.9% that implies a total reserve capacity for us of 14.4Bx.139= 2.002B. The valuation of unproved oil assets is $3/barrel, which gives an asset value of just over $6B, which with just over 710M shares outstanding gives a share value of almost $8 per share. Now if OPERATORSHIPS are awarded its KATIE BAR THE DOOR. If your not in before awards you'll be chasing.
Posts: 434 | From: NEBRASKA | Registered: Feb 2005
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posted
That valuation of course isn't right because the operatorships weren't figured in with the increased percentages. But it's a start.
OK, I'll stop, I guess I'm just overwhelmed by the awards, kind of makes my toes wiggle.
Posts: 434 | From: NEBRASKA | Registered: Feb 2005
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was in this last year and swore i'd never return....well...I'M BAAAACK.....LOL Bought in today a .735....looks like it finally came true.....Dish...you better get on board....
I'm loaded and ready......
-------------------- Raptor----Don't confuse bad luck with bad judgement Posts: 1813 | From: Ft. Worth Texas | Registered: Aug 2004
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ERHC - Awards Announced in the 2004 JDZ Licensing Round Wednesday June 1, 8:47 am ET
HOUSTON--(BUSINESS WIRE)--June 1, 2005--The Nigeria-Sao Tome and Principe Joint Development Authority (JDA) issued a press statement on May 31, 2005 announcing the award of five blocks on offer in the 2004 JDZ Licensing Round.
ERHC Energy Inc. (ERHC) (OTCBB:ERHE - News) had previously exercised its option rights in all the five Blocks on offer in the 2004 JDZ Licensing Round, and in December 2004 submitted bids as a consortium member for Blocks 2, 3 and 4.
In Block 2, the ERHC/Devon/Pioneer consortium has been awarded 65% interest, which is inclusive of ERHC's 30% signature bonus free interest. The consortium has been designated operator for Block 2.
In Block 3, the ERHC/Devon/Pioneer consortium has been awarded 25% interest, which is inclusive of ERHC's 20% signature bonus free interest.
In Block 4, the ERHC/Noble consortium has been awarded 60% interest, which is inclusive of ERHC's 25% signature bonus free interest. The consortium has been designated operator for Block 4.
In making the awards for Blocks 5 and 6, the JDA confirmed ERHC's 15% interest in each of these Blocks. ERHC's interest in Block 6 is free of signature bonus.
"The announcement of the awards is a significant milestone for ERHC. We look forward to working with the JDA and other participants towards developing the petroleum resources in the JDZ for the mutual benefit of the peoples of Nigeria and Sao Tome & Principe as well as our respective companies," commented Ali Memon, President & CEO of ERHC.
About ERHC
ERHC is an independent oil and gas company focused on exploration in the Gulf of Guinea offshore West Africa. ERHC's headquarters are in Houston, Texas. For more information, visit ERHC's Web site at www.erhc.com.
The statements in this document are forward-looking statements made pursuant to the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. These statements and the business prospects of ERHC are subject to a number of risks and uncertainties that may cause actual results in future periods to differ materially from the forward-looking statements. These risks and uncertainties are described on Forms 10-Q and 10-K filed with the Securities and Exchange Commission.
Posts: 14 | From: Moreno Valley | Registered: Mar 2005
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posted
What am I missing here? Thought this would rocket on the news. Is it reallly a done deal? Maybe a little more graft, collusion and corruption in the isles off Nigeria than originally thought? Cheers
Posts: 52 | From: Canyon Lake Tx | Registered: Feb 2005
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