Friday, March 24, 2006

Told JDA May P.R. Block 1 Find Monday, ERHE Rises $0.08 On Thin Trade

ERHC Energy shares (OTC BB symbol: ERHE) rose sharply this morning after pumper Mark St. Amour said an official of the Nigeria-Sao Tome and Principe Joint Development Authority told him by telephone today that the JDA may issue a press release concerning Block 1 drilling on Monday and that prospects were looking "very, very good."

The JDA was closed today for a holiday, the official said.

The prospect of a press release on ChevronTexaco's Block 1 Obo-1 test well - where the company is said to have hit a massive deposit of oil that straddles the midline of Block 2, where ERHC Energy/Sinopec consortium is the operator, pushed shares up $0.08, or 9.88 percent at 10:42 on trading of just 928,270 shares - about a third of normal volume.

The thin volume means the price can collapse in the face of even small sales.

Here is Mark St. Amour's note on I-Hub, posted about five minutes before the opening bell:


Just spoke with JDA source. It is a holiday over in Nigeria so they are not working today. He said the JDA will most likely Press Release something Monday morning regarding the Blk 1 Drilling. I told him the rumors persist that the find is huge. He would not comment other than to say all indications look very very good. Source said Monday's PR should be detailed and he mentioned that they want to attract big investment in the area. As always take this post for what it's worth.

Enjoy your day. I will.


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