Trading Updates: ERHE Moves Up Early As Investor Hopes Rise For Imminent Awards

ERHC Energy (OTC BB symbol: ERHE) investors drove the opening price of their stock two cents higher as they waited for the opening bell with some assurance that awards will be anounced at a news conference tomorrow. The opening Bid moved from yesterday's $0.692 close to $0.71, and the Ask lifted to $0.72 from yesterday's closing Ask of $0.70.

However, both Bid and Ask then slipped back, to $0.70 x $0.71.

The expectations were based on statements made in various telephone calls to Joint Development Authority spokesman Sam Dimka and others at JDA headquarters in Abuja, but most investors who called, including ERHC On The Move, found the telephone there busy or unanswered. It was a solidly disappointing day.

Many hoped for confirmation today of awards tomorrow, as political turmoil in Sao Tome continued to take a toll in morale.

Update, 4pm, 5/10/05: The market closes with the DJIA down about 107 points, and ERHE off $0.01 at $0.685 on volume of 923,109 shares, with the Bid and Ask at $0.68 x $0.685. This was a disappointing day, but at least we did a lot better than the Dow.

Update, 3:58pm, 5/10/05: Volume moves, but nothing else does. It's now at 911,709 shares. Our closing expectation is lower now at $0.695.

Update, 3:56pm, 5/10/05: Volume is slowly climbing but nothing else has moved. Volume stands at 906,909 shares.

Update, 3:54pm, 5/10/05: The price is still at $0.685 as volume pushes past 902,409 shares. The Bid remains $0.68 and the Ask stays at $0.685.

Update, 3:50pm, 5/10/05: Volume rises 2,000 shares to 891,409, while other indicators remain unchanged.

Update, 3:48pm, 5/10/05: The price slips to $0.685, while the Bid is at $0.68 and the Ask at $0.685, a half-cent lower. Volume is closing in on 900K, now at 890,409. It looks to be a sub-1 million volume day, with a close in the $0.71 range.

Update, 3:37pm, 5/10/05: All indicators unchanged.

Update, 3:35pm, 5/10/05: Little happening now, with volume at 887,059 and the price still jammed at $0.69.

Update, 3:31pm, 5/10/05: Volume has charged to 879,459 but the price is stuck at $0.69 with a half hour left in the trading day. The Bid and Ask are $0.68 x $0.69m suggesting a lack if interest among buys in the immediate prospect of awards in the Joint Development Zone.

Update, 3:15pm, 5/10/05: At the Surge, volume rises just 2K shares, but the price is up a cent to $0.69. Volume is 861,059 and the Bid and Ask are unchanged.

Update, 3:11pm, 5/10/05: Minutes from the 3:15 Surge, we're at the day's low, $0.68, the Bid, with the Ask at $0.69 and volume at 859,599 shares.

Update, 3pm, 5/10/05: Back from lunch, just before the 3:15 Surge, the stock is a half-cent above the low of the day at $0.685, with the Bid at $0.68, the Ask at $0.69. and volume sharply higher at 857,059 shares.

Update, 12:40pm, 5/10/05: We're back at $0.70 with the Bid and Price unchanged and volume now at 559,175 shares. I have a feeling the signing of the awards document in Sao Tome will still occur today, even though it's after 5pm there.

Update, 12:30pm, 5/10/05: The price dipped to $0.69 and moved back up to $0.70 on 543,025 shares, with the Bid at $0.695 and the Ask at $0.70. I'm headed to lunch with my brother, visiting us in Florida for a few days.

Update, 12pm, 5/10/05: We got $0.695 at the stroke of noon on 500,125 shaes. Bid and Ask are unchanged.

Update, 11:57am, 5/10/05: Approaching noon, we're a handful of shares away from 500K at 497,625 with all else unchanged.

Update, 11:55am, 5/10/05: We're back at $0.70 on 494,625 shares of volume, with the Bid back up to $0.695 and the Ask still at $0.70.

Update, 11:53am, 5/10/05: The price falls to $0.69, the low of the day, with the Ask still at $0.70 and the Bid at $0.69. Volume is 491,625 shares.

Update, 11:47am, 5/10/05: Volume lifts to 470,725 and all else is unchanged.

Update, 11:43am, 5/10/05: The price is $0.695, the Ask, with the Bid at $0.695. Volume is 465,025.

Update, 11:41am, 5/10/05: One of the other stocks I hold, Harrington Group of Australia (HGR on the ASX), has halted trading as it prepares to make an announcement. Hopefully, the news will produce some dough to pay bills and let me keep my shares in ERHE. The company owns patent rights to less-lethal piezoelectric bullets that carry a 50,000-volt charge.

Update, 11:29am, 5/10/05: The Bid improves to $0.695, which is the current price, and the Ask stays at $0.70 as volume climbs to 447,325. There was no news whatever about the JDZ in Nigerian newspapers today.

Update, 11:19am, 5/10/05: A 5,000 share sale brings the price to $0.69, the Bid, while the Ask stays at $0.70 and volume is 429,425.

Update, 11:17am, 5/10/05: Oil is trading at $53/bbl, driving the DJIA sharply down. Our price has fallen to $0.695 with the Bid at $0.69 and the Ask at $0.70. Volume has reached 424,425 shares.

Update, 10:57am, 5/10/05: We creep back up to $0.70, the Ask, as the Bid stays at $0.695 on volume of 395,165 shares. Volume is picking up.

Update, 10:57am, 5/10/05: The price slips below $0.70 to $0.695 for the first time todauy. The Ask falls to $0.70 on volumeof 363,245 shares. There nothing new on the Lusa Website.

Update, 10:49am, 5/10/05: Runaway bride Jennifer Wilbanks has been committed to a mental hospital, CNN says. Many of our longs are soon to follow. The price is $0.71 as volume climbs to 331,245, and the Ask rises a half-cent to $0.715 and then falls back to $0.71.

Update, 10:43am, 5/10/05: We're back to $0.705, with volume at 297,245 and climbing. The Bid is $0.705, the Ask $0.71.

Update, 10:39am, 5/10/05: The price is better at $0.72, and the Ask falls to $0.715, while the Bid improves to $0.705 on volume of 273,245 shares. Just to assure ERHE investors they are not delusional, we have this message from hurricaneoffor, who has spoken to the always-helpful investor relations spokesman Chris Paulsen at Pioneer Natural Resources, our mid-tier partner with Devon Energy in bids for Blocks 2 and 3 of the JDZ. Here's the good word:

****Spoke with Chris Paulsen, IR, PXD****

Just spoke with Chris Paulsen and he said that they expect awards "in the very near term" and I asked him if they expected awards this week and he said that's very possible. He did not want to comment specifically (and never has) on timing of awards announcement. He said that he expects PXD to be granted the 2 blocks! I was surprised that he said this but I guess since it is already being widely reported he felt comfortable saying this. You can call Chris yourself at 972-444-9001.

Update, 10:23am, 5/10/05: The price moves down a cent to $0.71, on 242,715 shares, as the Dow sinks 75 points. The Bid and Ask are unchanged at $0.71 x $0.72.

Update, 10:14am, 5/10/05: A pre-opening post from ArtK4K says Sam Dimka characterizes hopes that Dimka stoked for an announcement tomorrow as "ambitious," but he apparently retains hope the awards will yet come before the "end of the week."
All hinges on signatures from Sao Tome officials whom the Nigerians are happy to indulge in their airing of grievances, he says. Yesterday's assurances by SwingingK are once again proven false. For Dimka, the "end of the week" is the new "end of the month" - we hope.

The price is $0.72, the new Ask, and the Bid stays at $0.705 as volume meanders to 217,015.

Update, 10:07am, 5/10/05: The price and Ask move to $0.73, opening a $0.025 gap over the Bid of $0.705. Volume is 214,642 shares.

Update, 9:53am, 5/10/05: The price lifts to $0.7075, a quarter-cent better, on 190,642 shares, as the Ask stays at $0.71 andd the Bid remains unchanged at $0.705.

Update, 9:51am, 5/10/05: We're at $0.705, the Bid , and the Ask lower at $0.71, on volume of 189,342 shares.

Update, 9:38am, 5/10/05: Movement shrugs to a stop and all indicators are unchanged.

Update, 9:35am, 5/10/05: The price improves to $0.72, the Ask, as the Bid stays at $0.70 and volume reaches 112,250 shares.

Update, 9:30am, 5/10/05: ERHE opens at $0.71 on volume of 20,550 shares.