Breaking its chains at last, ERHC Energy (OTC BB symbol: ERHE) flew from the shackles it has long suffered in to its highest point since 2000 at $0.96 this morning, befiore at least temporarily settling back to $0.945 as investors await confirmation of the signing today of Block 2 - said to participate substantially in a huge pool of oil discovered in the past month by CheronTexaco in Block 1 - by the Nigeria-Sao Tome and Principe Joint Ministerial Council meeting in Abuja right now.
The high of the century came shortly after the opening with more than a million shares traded in the first few minutes.
At 10:11am ET, the price stood at $0.949, with the Bid at $0.946 and the Ask at $0.949. Volume was 1,438,047 shares.
Trading Update, 10:46am ET, 3/15/06: Volume reached 2,803,814 as the price soared to a new millenial high of $0.97, and then slipped back to $0.95.
The Bid is currently 9:45, and the Ask $0.95.
Trading Update, 10:56am ET, 3/15/06: The Bid has moved back up to $0.954, and the Ask to $0.955. No word yet from ERHCEnergy on the blocks signed yesterday, or from the JMC about Block 2's signing today.
Trading Update, 11:19am ET, 3/15/06: The share price is repeating yesterday's pre-signing gyrations at a higher level. The stock has risen, fallen, risen again, fallen again and now is again on the rise. The Bid is $0.965 and the Ask $0.968, while volume stands at 3,426,398 shares - a bit slow considering the enormity of Block 2 as a future revenue source.
Trading Update, 11:19am ET, 3/15/06: Most investors are probably disappointed by the less-than-enthusiastic blast of selling that accompanied news of Block 2's signing at 11:50am ET. A half hour later, at 11:41am, the price is $0.96 with the Ask at $0.965 again. No PR has arrived from the company yet. Volume at 11:50 is 4,291,840, and heavy buying has kicked in over the past three minutes, then subsided. Obviously, the market has not yet discounted the enormity of Block 2 as a potential future revenue source.
Trading Update, 12:16pm ET, 3/15/06: The price has improved to $0.986 x $0.987, and we sold our 25,000 shares - purchased at $0.96 this morning - for $0.983, a $683 gain after E*Trade's $7.99 day-trader commissions (which I earned by getting in and out of APC a zillion times). Volume in ERHE just hit 5,006,785 shares.
Trading Update, 3:35pm ET, 3/15/06: With day traders exiting, the price is $0.94 x $0.95, and volume has reached 7,047,794. Again, the market appears to be waiting for an announcement from Chevron in April that will define the JDZ for years to come - either as a hole filled with black gold, or a very, very costly dry one. We hope it's not as in Angola's Chevron find, mostly oil sands, which we imagine would be hard to deal with at these depths. The price now, at 3:39, is $0.92 x $0.921, which shows youy how much "value" pumpers on the I-Hub and Raging Buil boards have added to the stock.