O Happy Day!
Presidents Fradique de Menezes of Sao Tome and Principe and Olusegun Obasanjo of Nigeria celebrate as they complete the awards process. The two signed off on the awards of percentages in five blocks to ERHC Energy, including a 65 percent share of Block 2 and 60 percent of Block 4.
The disappointing performance of ERHC Energy in yesterday's session reminds us that we now hold a stock that may occasionally disappoint but no longer can become worthless. That's a huge difference between Monday, when we had nothing but our hopes, and Tuesday, when the company won awards of prime blocks of oil-bearing waters from the Nigeria-Sao Tome Joint Development Authority estimated to hold some 5 billion barrels of oil.
Update, 8:30pm EDT, 6/2/05: This is the latest from the Oil & Gas Journal, a respected industry publication published by Pennet:
Five more blocks awarded in Nigeria-Sao Tome JDZ
http://ogj.pennnet.com/articles/article_display.cfm?
Section=ONART&C=ExplD&ARTICLE_ID=229123&p=7
By OGJ editors
HOUSTON, June 2 -- The Nigeria-Sao Tome and Principe Joint Development Authority in Abuja approved the award of five more blocks in the Joint Development Zone in the Gulf of Guinea.
The signature bonus for the five high bids totaled $283 million for the blocks, in deep water 100 miles south of Port Harcourt, Nigeria.
A participant in each block is ERHC Energy Inc., Houston, successor to Environmental Remediation Holding Corp., which had cultivated relationships with Sao Tomean officials since 1997.
ERHC lists Emeka Offor as chairman and Ali Memon as president and chief executive officer. Memon, formerly with Marathon Oil Corp., joined ERHC in 2004.
The five blocks cover about 3,900 sq km only a few miles south of Akpo and other undeveloped giant oil and gas fields in Nigerian waters.
The JDA previously awarded Block 1 to a group led by Chevron Corp. and an ExxonMobil Corp. affiliate. Nearest to Akpo and in 5,700 ft of water 190 miles north of Sao Tome island, it went for a $123 million signature bonus.
Block awards
Here are the bidding groups designated as awardees earlier this week.
Block 2 covering 692 sq km went for a $71 million signature bonus. Operator with 65% interest is a combine of Devon Energy Corp., Oklahoma City, Pioneer Energy Resources Co., Irving, Tex., and ERHC. Other participants are a combine of Equator Exploration Ltd., London, and ONGC Videsh Ltd. of India with 15%, A. & Hartman 10%, and 5% each to Foby Engineering and a combine of Momo Oil & Gas, SOJITZ, IMT Int., and Nissho Iwai Corp.
Block 3 with 666 sq km went for a $40 million signature bonus. Operator with 51% interest is Anadarko Petroleum Corp. A combine of Devon and ERHC has 25%. A combine of DNO ASA, Oslo, and EER, presumably Energy Equity Resources of Norway, has 10%. A combine of Equinox Oil & Gas, Equinox & Energy Ltda., and Petro-China Co. Ltd. also has 10%, and a combine described as Ophir/Broadlink has 4%.
EER was also a participant in the group awarded Block 1 earlier this year.
Block 4 covering 857 sq km went for a $90 million signature bonus. Operator with 60% interest is Noble Energy Inc., Houston, and ERHC. Other awardees are identified as Conoil 20%, Hercules/Centurion 10%, and Godsonic Oil & Gas and Overt/Addax 5% each.
Block 5 with 1,091 sq km drew a $37 million signature bonus. Operator with 75% interest is identified as the ICC/OEOC consortium. ERHC holds 15%, and a combine known as Sahara/Denham/Wood Group got 10%.
Block 6 covering 588 sq km drew a $45 million signature bonus. Operatorship and 85% interest went to a combine identified as Filthim-Huzod Oil & Gas/DNO ASA/EER/Sinopec. ERHC holds 15%.
Update, 4:15pm EDT, 6/2/05: After flirting with $0.635, we've closed at $0.629, an $0.061 loss for the day and a $7,320 loss for the ERHC On The Move portfolio of 120,000 shares. There were 1,315 trades today, 3,936,918 Buys, 4,042,453 Sells, and 277,100 unidentified shares. In the last 41 trades of the day, 26 were Sells and 12 were Buys with three unidentified. There were 33,200 shares traded after hours in eight trades, with 25,700 Sells and 7,000 Buys. While the late trading was overwhelmingly negative, the buying earlier very nearly evened the day out - the Sells at 3:56pm EDT outnumbered Buys by just 2,105 shares, compared to a modest gap of 105,535 at the close. In the end, we saw an 8.84 percent loss for the day.
Update, 3:41pm EDT, 6/2/05: The price is $0.62, the Bid and the Ask is $0.625. According to the ADVFN service, on 15-minute delay, there were 3,518,854 shares recorded as Buys and 3,667,744 as Sells, with 244,600. Obviously, the huge price plunge we saw earlier was to benefit buyers favored by the market makers. There were 244,600 shares unidentified.
Update, 3:29pm EDT, 6/2/05: The price is $0.63, the Bid, and the Ask is $0.631, with volume now over 7,599,800.
Update, 3:22pm EDT, 6/2/05: The Block 2 and 3 exploration partner of ERHE, Pioneer Natural Resources, has just issued a press release about the Nigeria-Sao Tome and Principe Joint Development Zone block awards that mentions us:
Pioneer Offered Exploration Rights in Nigeria - Sao Tome and Principe Bid Round
DALLAS--(BUSINESS WIRE)--June 2, 2005--Pioneer Natural Resources Company (NYSE:PXD) confirmed today the announcement by the Nigeria - Sao Tome and Principe Joint Development Authority (JDA) that its subsidiary, Pioneer Resources Africa Limited, has been offered the right to conduct exploration activities in Blocks 2 and 3 of the Joint Development Zone (JDZ) in offshore Sao Tome and Principe and Nigeria. The Company is awaiting official notification from the JDA.
Pioneer is part of a consortium with Devon Energy (NYSE:DVN) and ERHC Energy Inc. (OTCBB:ERHE) which was offered 65% interest in Block 2 and 25% interest in Block 3. Upon receipt of the official notice of the offer, the Company will determine its next steps regarding the negotiation of a joint operating agreement with the other offerees and an acceptable production sharing contract with the JDA.
Pioneer is a large independent oil and gas exploration and production company with operations in the United States, Argentina, Canada, Equatorial Guinea, Nigeria, South Africa and Tunisia. Pioneer's headquarters are in Dallas. For more information, visit Pioneer's website at www.pioneernrc.com.
Update, 2:38pm EDT, 6/2/05: A couple of million shares later, we're at $0.58, the Bid, with the Ask at $0.585 and volume of 6,345,100 shares.
Update, 2:08pm EDT, 6/2/05: Huge buys kicked in at $0.56 and slightly above, pushing us back to $0.58 now, with volume at 4,466,400. The Bid is $0.58 and the Ask is $0.585.
Update, 1:59pm EDT, 6/2/05: The price is $0.56, which many believe to be a bottom. But the craziness of this price was well-illustrated a few minutes ago at 1:55pm, when the Ask was $0.601 and the Bid was higher, at $0.605. Volume is 3,271,200. Schwab appears to be the big seller.
Update, 1:44pm EDT, 6/2/05: We're now at $0.605, and the Ask is $0.611, with volume at 3,175,800.
Update, 1:40pm EDT, 6/2/05: The price is $0.62, the Bid, and the Ask is $0.625. Volume is 1,988,300 shares. Our Money.net java LII quotes stalled again. Do not sell.
Update, 12:05pm EDT, 6/2/05: We're still at $0.65 as volume reaches 1,191,200, but the Bid has slipped to $0.645 and the Ask is $0.65. The SEC is already on the phone to a certain brokerage/investment house.
Update, 11:50am EDT, 6/2/05: The price is $0.65 as we move close to the lunch hour, with the Bid $0.65 and the Ask $0.655. Volume has crossed 1,106,800 shares. As of 15 minutes ago, ADVFN reports, there were 236 trades, with 390,295 Buys and 534,197 Sells and 80,325 shares unidentified.
Update, 11:26am EDT, 6/2/05: Rep. Chris Cox, whom we called several weeks ago about the delays in Sao Tome (his committee was meeting with the prime minister on their request for debt relief) has just been nominated as the new chairman of the SEC by President Bush:
AP
Bush Chooses Conservative Cox to Lead SEC
Thursday June 2, 11:05 am ET
By David Espo, AP Special Correspondent
Bush Chooses Rep. Chris Cox to Lead SEC; Has Background in Foreign Policy As Well As Economics
WASHINGTON (AP) -- Acting quickly, President Bush named conservative Rep. Christopher Cox to lead the Securities and Exchange Commission Thursday. Cox would succeed William Donaldson, who announced the day before he was stepping down after 28 months.
Update, 11:13am EDT, 6/2/05: Even though we've won rights to an estimated 5 billion barrels of oil and the price of oil is pushing $54 a barrel, our share price is $0.652, the Bid is $0.651, and the Ask $0.66 on volume of 838,717 shares. Even GEECF is selling for more than we are, now at $0.70.
Update, 11:06am EDT, 6/2/05: Here's a brilliant post from stockhocker70 on Investor's Hub that expresses my sentiments to a tee:
Posted by: stockhocker
In reply to: ajman who wrote msg# 4103 Date:6/1/2005 9:56:20 PM
Post #of 4221
Andy, thanks for that great post. I don't understand the MM game too much, but I am learning and understanding that these guys are our enemy. It's like we have to fight against them for every penny that we increase our share price.
What makes no sense to me is how the stock price moves erratically and many times opposite of what logic dictates. I am coming to believe that this can only be explained by the actions of the MM's themselves. There is/was simply NO REASON for a drop today and no reason that we start the day off with a nice gap, with fairly strong volume, only to reverse course for no good reason and end the day down. It's as though they were watching, testing, and planning on how to destroy this advance. I've talked with a lot of ERHC investors today and NO ONE has a fundamental reason as to why we would lose ground today.
I guess the big question is, when will they be recovered and when will they let us rise again? To be sub $1 post awards is unthinkable and can only be explained as such. I will not let these bastards nor anyone else get my shares.
Update, 10:48am EDT, 6/2/05: We have added our market manipulation complaint to at least eight others at the SEC. In 1976, an article I wrote for the Village Voice exposing the lies of SEC nominee Patrick J. Delaney forced President Ford to withdraw his nomination, so I have some faith in the process there. I proved that Delaney, whose father waa the ranking member of the House Rules Committee, made over $100,000 with his father by manipulating a Colorado uranium stock called Westec, and that he had lied about his formal education.
Update, 10:40am EDT, 6/2/05: The price is $0.674, the Bid is $0.665, and the Ask $0.674 as volume reaches 657,510. The absence of the current Sao Tome prime minister will be one less roadblock for our Sao Tome EEZ negotiations in the Fall.
A note on the Investor's Hub ERHE board says, meanwhile, that our rival for those blocks, Equator Exploration, is up 7 percent on London's AIM market, where it has improved since late last week.
Update, 10:36am EDT, 6/2/05: Great news from Sao Tome, where the MLSTP prime minister who helped delay awards has stepped down now that President Fradique de Menezes will be bringing home a total of about $160 million - three time the nation's annual budget - from the Joint Development Zone signature bonuses.
Here is the story, courtesy of Homeport:
SAO TOME's Prime Minister Resigns
02-06-2005 14:47:00.
Fonte LUSA. Notícia SIR-7052897
Temas:
Sao Tome: PM d'Almeida resigns over disputes with President de Menezes
Sao Tome, June 2 (Lusa) - Prime Minister Damião Vaz d'Almeida resigned Thursday over disputes with President Fradique de Menezes, leaving Sao Tome and Principe's political future uncertain amid a general civil service strike and as the archipelago prepares to receive its first oil bonanza windfall.
D'Almeida presented his resignation to de Menezes at a meeting at the Presidential Palace, an aide to the prime minister confirmed to Lusa.
He said d'Almeida, in office for eight months, was stepping down amid a lengthy civil service general strike because he lacked "institutional support" from the president, who is backed by rival political parties.
There was no immediate reaction from the president.
De Menezes, analysts said, could either tap someone to try forming a new coalition cabinet, the fifth since his election as president in 2001, or dissolve the 55-seat legislature and call early elections On leaving the Presidential Palace, the prime minister declined to elaborate on his meeting, but told journalists an aide would issue a statement later Thursday.
D'Almeida formed his outgoing coalition cabinet last September after his fellow MLSTP party colleague, Maria das Neves, was forced to resign amid a foreign aid embezzlement scandal.
The first indication of the crisis emerged early Thursday when a Sao Tomean diplomat in Luanda told Lusa d'Almeida had indefinitely postponed his planned three-day visit to Angola, set to begin Thursday, because of "the political situation" and the now four-day- long civil service strike that has paralyzed the islands.
He had been expected to sign bilateral air transport and oil cooperation accords in Luanda.
D'Almeida resumed negotiations with strike leaders Wednesday, but the talks failed to bring a solution.
The prime minister said the government had no funds to meet the raise demands, and the main strike leader, teachers' union chief Miguel de Assunção, said the unions were sticking by their objectives.
The president, who is expected to stand for re-election in mid- 2006, had publicly expressed sympathy for the strikers+ plight The unions call for a raise to the equivalent of USD 100 for civil service minimum monthly salaries, currently set at slightly more than USD 30.
The government has offered a hike to USD 40, arguing it can not offer more because of budget-control commitments it assumed with the World Bank and International Monetary Fund in negotiations for pardoning the islands' USD 300 million foreign debt.
The unions have threatened to prolong their general strike indefinitely.
The Uê-Kedadji opposition party expressed its support for the 6,000 striking government employees Wednesday, demanding the government resign.
The crisis broke on the heels of de Menezes signing an accord with Nigeria Tuesday for the awarding of five oil blocks in their shared Joint Development Zone.
Sao Tome's share of the signing bonuses, including an earlier one-block award last year, is expected to total more than USD 160 million - the poverty-striken islands' first payout from its long- awaited and promising oil bonanza.
The government and de Menezes had exchanged virulent accusations of wrongdoing and corruption over the oil block awards process.
RCN/FR/SAS.
Lusa
Update, 10:15am EDT, 6/2/05: The price is $0.679, the Ask, while the Bid is $0.67. Volume is slowing, at 581,410 shares.
Update, 10:09am EDT, 6/2/05: The price is $0.67, the Bid, with the Ask at $0.675 and the volume 563,341 shares.
Update, 9:50am EDT, 6/2/05: Unlike yesterday, we expected today's downward plunge at the open - and we expect a strong rebound later in the morning. The price is $0.66, off $0.03,and volume is 387,149, with the Bid and Ask $0.65 x $0.66.
42 comments:
On the other hand, Equator Exploration (EEL) is up 7% yesterday and 7% today (to new highs). What's up with that?
Can it have to do with fewer shares outstanding? Or that they have about $100M in the bank to actually get the oil out of the ground (ERHC only has a few months of cash, if I read the numbers correctly). Or is it some sort of manipulation? Or a better deal with their bigger partners? I have no experience in this field of investment, so I'm really curious for any explanation. After all, they just got a small piece of the JDZ compared to ERHC.
SAO TOME's Prime Minister Resigns
02-06-2005 14:47:00. Fonte LUSA. Notícia SIR-7052897
Temas:
Sao Tome: PM d'Almeida resigns over disputes with President de Menezes
Sao Tome, June 2 (Lusa) - Prime Minister Damião Vaz d'Almeida resigned Thursday over disputes with President Fradique de Menezes, leaving Sao Tome and Principe's political future uncertain amid a general civil service strike and as the archipelago prepares to receive its first oil bonanza windfall.
D'Almeida presented his resignation to de Menezes at a meeting at the Presidential Palace, an aide to the prime minister confirmed to Lusa.
He said d'Almeida, in office for eight months, was stepping down amid a lengthy civil service general strike because he lacked "institutional support" from the president, who is backed by rival political parties.
There was no immediate reaction from the president.
De Menezes, analysts said, could either tap someone to try forming a new coalition cabinet, the fifth since his election as president in 2001, or dissolve the 55-seat legislature and call early elections On leaving the Presidential Palace, the prime minister declined to elaborate on his meeting, but told journalists an aide would issue a statement later Thursday.
D'Almeida formed his outgoing coalition cabinet last September after his fellow MLSTP party colleague, Maria das Neves, was forced to resign amid a foreign aid embezzlement scandal.
The first indication of the crisis emerged early Thursday when a Sao Tomean diplomat in Luanda told Lusa d'Almeida had indefinitely postponed his planned three-day visit to Angola, set to begin Thursday, because of "the political situation" and the now four-day- long civil service strike that has paralyzed the islands.
He had been expected to sign bilateral air transport and oil cooperation accords in Luanda.
D'Almeida resumed negotiations with strike leaders Wednesday, but the talks failed to bring a solution.
The prime minister said the government had no funds to meet the raise demands, and the main strike leader, teachers' union chief Miguel de Assunção, said the unions were sticking by their objectives.
The president, who is expected to stand for re-election in mid- 2006, had publicly expressed sympathy for the strikers+ plight The unions call for a raise to the equivalent of USD 100 for civil service minimum monthly salaries, currently set at slightly more than USD 30.
The government has offered a hike to USD 40, arguing it can not offer more because of budget-control commitments it assumed with the World Bank and International Monetary Fund in negotiations for pardoning the islands' USD 300 million foreign debt.
The unions have threatened to prolong their general strike indefinitely.
The Uê-Kedadji opposition party expressed its support for the 6,000 striking government employees Wednesday, demanding the government resign.
The crisis broke on the heels of de Menezes signing an accord with Nigeria Tuesday for the awarding of five oil blocks in their shared Joint Development Zone.
Sao Tome's share of the signing bonuses, including an earlier one-block award last year, is expected to total more than USD 160 million - the poverty-striken islands' first payout from its long- awaited and promising oil bonanza.
The government and de Menezes had exchanged virulent accusations of wrongdoing and corruption over the oil block awards process.
RCN/FR/SAS.
Lusa
Joe,
what are the details on the SEC you mentioned in your last post. I contacted them yesterday, but havent heard anything. Which firm etc?
Mike
Joe,
You seem to be well connected to the media. I think we should mount an "assault" on the media to run our story. Nearly every news story I have seen says that we are a company owned by a Nigerian Businessman. Who is going to try to buy stock based on that. I remember what the LA Times story did for our price. We need to light the fuse so to speak. You can help by guiding these efforts and the longs that read here will do the rest. Come on lets give this the ole college try
Before the ole college try, let's find out who was selling into every run for the past month. Don't blame the OTC MMs they are just whores for companies.
I filed a compliant citing Naked Shorting, Mentioned GNIT as an example...Did we turn up on the short list yet.
All is not well with this stock. Perhaps, the sp will continue to decline since there alot of shareholders who've been holding for years, and they know nothing much will happen from now until first oil. The big players aren't impressed as yet. I don't even think PRs will help too much at this point. The PRs to be expected from DVN,NBL,PXD won't be spectacular since this only represents a small piece of the many other explorations that they have going on. Also, another factor maybe that the institutional investors would rather see an Exxon, Chevron or another comparable at the helm. I expected alot more than this.
The share price helps oil guys who want to accumulate and hold for many years.
Screw the rest of ya!
I agree. Us longs are laughing now and in a few years we'll be laughing all the way to the bank as we steal shares from the weak. Why do you think we're defending the market manipulators? LOL
Thanks for bringing a smile, Joe. Lovely headline!
I admire the sense of humor you often show in times of stress!
Bests,
OK GUYS, LISTEN UP!! TIME FOR MARKET REALITY 101.
First of all, I am a long-term investor in ERHE, having also played the stock some years ago when they first negotiated the deal with STP. (BTW, that was quite a ride--I bought at .35 and it was over 5.00 within 3 months, the best performing stock I've ever had time-wise. Must confess that I sold no higher that 3.25, but still quite a performance.) I do trade a PART of my position with the ebbs and flows of the market, as it gives me something to do and helps (sometimes) pay the bills.
OK, now that you know where I'm coming from, here's some market reality, if you care. While I am disappointed that we did not get more pop on the news, generally ERHE is performing EXACTLY as most market analysts would expect. I know this reality is not what we all would like, but it is reality. Generally, when important news is announced, you get a news pop in a stock, but then there are many people who have planned to sell on the news. (Buy rumor, sell news is a long-standing Wall Street aphorism.) ERHE was ALREADY up on the anticipation that we would get the news we did; then it rallied from the high 50's to the high 70's when it became clear that we would, in fact, get the awards as expected. Then the news selling came in, and we have declined as virtually all experienced traders/investors would expect. Yes, I realize this seems counter-intuitive, but it is REALITY! What is now to make the stock go higher in the short term? All the good news is out for now, so don't expect miracles. The next FUNDAMENTAL reason for ERHE to move up is when we get close to DRILLING. Now any number of other things could intervene in the meantime, e.g., analysts picking up the stock, institutions deciding to buy, some oil company deciding it wants to own ERHE. Any one or more of these events would, of course, tend to push the stock up, probably very significantly. But in the absence of these (or similar) events, ERHE will probably disappoint the more optimistic investors. I case you're wondering, I sold about 1/3 of my position and will buy it back if it drifts much lower. If I wanted to play the odds, I would have sold it all, as the odds clearly favor the performance we have actually seen. But that's why they call them odds--sometimes (not very often) things defy the odds (in this case, that would be for the stock to have a SUSTAINED upmove). So I kept 2/3 of my position, as I didn't want to be out of the game if that happened. In short, I am very bullish on ERHE intermediate and long term. BUT, we need some some kind of event(s) to spark a renewed advance. If it goes lower, don't be sore, buy more!!
On another point, while I definitely do NOT consider the MM's to be our friends, the general feeling on this board is almost pathologically paranoid about them. I would argue that there might very well be interests who would like to depress or restrain the ERHE price, but IMO IT IS NOT THE MM'S. Yes, the sell orders come through the MM's, but that doesn't means it IS the MM's. Think about this: every share they would short would require (by net capital rule) 2.50 of their net capital. Why would anyone in their right mind do this, especially if the stock in question was just given oil rights that other companies paid many millions for. Not likely, IMO. Perhaps an SEC investigation is warranted to find out if the interests that are shorting are doing so legally (by borrowing the shares shorted), but I don't believe you will find the market makers are doing it, except as a part of their normal market making activities, which is designed to be just a momentary short until they cover the sale as part of your trading activity.
Sorry, the last sentence of the previous post should read: "...which are designed to be just a momentary short position until they cover the sale as part of their trading activity."
JOE!!! I thought you said there's no where to go but up!!!!!!!!!
whats the deal with the SEC comment?? or is it another one along the lines of the infamous RJ scandal awhile back?
******UPDATE from homesails******
There are controlled sales going on. I have a brother who works as a market maker in erhe! Please write a story on this! imo
if the stp government are kicked out after a revolt. erhe rights could be worth very little. in light of the investors on ws.
1:22pm poster. Thanks for that. I think you right.
Sorry 1:42, I don't know what you mean by controlled sales. Please explain.
We need capitulation to take place. I hope they take this thing way down and get it over with. As painful as it is to watch.
Joe better not by lying about do not sell.
ken is right. erhe is now a gay pornographic stock.
what goes around comes around
cheers JOE.
This is criminal.
Personally, I am not worried about whether the STP government stays in power or not as it relates to ERHE rights. The legitimate government signed off on the awards and any future government is by by treaty and by international law to honor that action. I might be worried if this were just STP, but remember that the REAL controlling force in this is NIGERIA (a nation of 22,000,000+ people versus 150,000 on STP). The awards went the way Nigeria wanted and they will stay that way, IMO.
I dont think the drop is over yet. We need further capitulation to occur and then it will reverse. I think .48 will be the absolute bottom then it will begin to climb.
$0.56 was it, I think. We're at $0.59 now.
HUGE U TURN COMING WEAK HANDS ARE OUT NOW THE REAL GAINS AWAIT !!!!!!!!
For those who dont believe in manipulation get a clue.
The MM's walked this down to create a panic today so they could shake out the weak hands and scare the little guy into selling.
They scooped up about 7 million shares.
Are we done yet. Probably not. They will use the idle time between now and PSC signings to bring it down again.
I told you that they wanted their cake and eat it to.
They wanted ERHC shares but they were not going to take the risk us individual investors did and accumulate before awards.
They were going to wait until AFTER awards and get it cheap.
Mission accomplished thus far.
DALLAS--(BUSINESS WIRE)--June 2, 2005--
Pioneer Natural Resources Company (NYSE:PXD) confirmed
today the announcement by the Nigeria - Sao Tome and Principe Joint
Development Authority (JDA) that its subsidiary, Pioneer Resources
Africa Limited, has been offered the right to conduct exploration
activities in Blocks 2 and 3 of the Joint Development Zone (JDZ) in
offshore Sao Tome and Principe and Nigeria. The Company is awaiting
official notification from the JDA.
Pioneer is part of a consortium with Devon Energy (NYSE:DVN) and
ERHC Energy Inc. (OTCBB:ERHE) which was offered 65% interest in Block
2 and 25% interest in Block 3. Upon receipt of the official notice of
the offer, the Company will determine its next steps regarding the
negotiation of a joint operating agreement with the other offerees and
an acceptable production sharing contract with the JDA.
Pioneer is a large independent oil and gas exploration and
production company with operations in the United States, Argentina,
Canada, Equatorial Guinea, Nigeria, South Africa and Tunisia.
Pioneer's headquarters are in Dallas. For more information, visit
Pioneer's website at www.pioneernrc.com.
we will soon be trading $1
what was the deal with your SEC and Schwab comments?? any substance or just another Raymond James myth-like story
the pps make no sence, i was angry at 80 cent , and now im even more angry. this is the biggest scam i have ever seen in my 10 years as a trader. 55 cent after awards of billions of brl. oil
i always had my doubt about this stock. and its all confirmed now.
this is the kind of company that will never see its stock price above a buck. no matter how many gazillion brl. oil they may pump.
10 million shares trading back and forth, no new investors to bring it out of a never ending trading range. each time they have great news. it will just sell off.
No credit left in this pos.
Sell your shares then. This stock isnt for the faint of heart. Especially prior to first oil.
As I (and a few other people) have pointed out, this stock seems to be a complete joke.
Every time "good" news is announced, the price drops even more, and I must say that it's getting quite tiring.
I've made more money in the past week playing poker online than this stock has done for me the entire time I've held it, even -after- the awards are announced.
All I can say is, I'm glad I didn't put much money in such a crummy stock.
"i was angry at 80 cent, and now im even more angry. this is the biggest scam i have ever seen in my 10 years as a trader."
ha ha ha ... "angry" over a stock price? What a liar! Sheeesh... these crooks just won't stop!
This up-and-down movement has made me quite a bit so far... and I'm an "amateur"! Hope you trade only you're own money. (Or do you work for a short bankster?) Been doing this for more than a few years myself, though.
For you others... try not to buy & hold but play the swings. It's going to get rough for a bit. But ups will follow downs. Watch the volumes during the swings, and buy on volume upticks that increase the prices (after noon generally) on a down day.
Good luck to all with this one. LT things will be great, but for now sharks are circling. The cage is in the water...
Apparently Noble has stated in their CC that PSC's wont be signed until early next year. Hopefully they are just being very conservative with that prediction. I do think it will happen much sooner.
but if so what will drive the share price in the interim?
An oil strike on Block 1 by Exxon/Chevron would be nice publicity for the JDZ.
Sao Tome EEZ selections would be good for ERHC.
Possible opportunities in the Nigerian EEZ although I doubt it.
A signed PSC within a couple of months would be much better. Hopefully that will occur.
This stock will be a trading vehicle for the next 6 months. Its not my cup of tead but get ready for more rollercoaster rides like today.
Some Beach! Somewhere... somebody wants to buy my ERHE shares for $10?
Theres cold Margharitas and hot Senoritas,
Smilin', with long dark hair on some beach, somewhere.
(AND I STILL CAN'T AFFORD TO GET THERE!)
Drilling not till 2006
8-12 months to drill
6 Months for PSC Contracts
No rush here,
no wonder why there was hard DUMPING the past few days
see ya'll in Dec.
Dead Money for a while
At any point of the past, ERHE shares could easily have gone to 0.0001 and ERHC Energy could be out of business overnight, probably not before reversing 1 for 40, making your investment worth less than it costs to trade. And you suggested to your family to take such chances? These stocks aren't called "speculative/high risk" for nothing. Your actions were foolhardy if they couldn't afford the risk. A winner doesn't whine and a whiner doesn't win.
But you tell your long-termer relatives to hang in there, 'cause the small cap. venture company they own just got awarded, at a minimum, an open option on billions of barrels of light-sweet black gold, and thus billions of dollars that must be divided, in several blocks of warm-sea oil fields that will be explored, drilled, and pumped by others who are actually expert drillers. I have shares in gold miners with market caps around $800 million and huge gold or silver reserves that could never realistically hope to see such potential profits as have now been awarded to ERHC Energy, all for a present market cap. of less than $400 million. Those miners' shares are down to around $3/share. The math just ain't that tough.
There is, of course, a risk that resides in the stock price of no profitable oil to be pumped. That's already figured in and discounts the share price somewhat, but when added to other roadblocks restraints the share price, other risks such as the fact the Nigerians and our CIA appear to be experiencing some "difficulties" at the moment. (But then, all the miners I invest in seem to be in countries whose natural resources are at risk of government "involvement," and not in way friendly to private investment... and I don't mean just the U.S.) However, as these worry points are resolved, the various steps in dissolution of this fear will free the price action to go much higher. The stairsteps will be severe. Up and down profits for all! But the hardest point for those with the patience of Livermore, those who hold their same shares the whole ride, will be the worry over "where's the top for me"?
Now that will be THE TEST of TESTS.
Just don't start crying when you tell the relatives they must be patient for another three years to see the real profits begin to "flow."
Hey, that was a great post, 12:29am. Many thanks.
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