Two Huge Blocks Of ERHE Purchased After Hours

Two blocks of 262,107 shares each of ERHC Energy were purchased in two after-hours trades at an average price of $0.298, according to the ADVFN financial network, along with 15,000 other shares in two trades.

According to ADVFN, a first purchase of 262,107 at $0.298 occurred at 4:08pm. At 4:49pm a purchase of 262,107 shares at $0.3045, the 78th trade of the day, was deleted.

At 5:04pm EST, a second trade of 262,107 shares occurred. In all, ADVFN counted 524,214 shares purchased after 4pm EST. The New York Times counted volume of 924,00 for the day at the close, while ADVFN showed 1,186,756 shares. The Times later updated its volume count by 262,107 shares to 1,186,756 shares, agreeing with ADVFN.

An observer said the trades were likely pre-arranged purchases. Several key players at ERHC Energy are entitled to exercise options to purchase ERHC Energy shares, although not at today's post-closing price.

The buys probably set a record for extended hours trading in ERHC Energy, which expects to learn early next week whether Production Sharing Contracts for some or all of its equity in five blocks will be signed by the Joint Ministerial Council that oversees awards of the Nigeria-Sao Tome ahnd Principe Joint Development Zone in the Second Licensing Round.

The four trades, valued at aproximately $160,715, came on a day when trading was remarkably slow until near the close, as it has been since a brief surge in interest earlier in the week, when 1.3 million shares traded one day and under 400,000 the next. Volume Friday was 924,649 shares.

The most optimistic spin that can be placed on the late trading is that perhaps a trader has gotten wind of JMC plans. Moreover, Monday is a three-day weekend in the United States, and large price movements in the stock typically come immediately before or after such holidays.

ERHC On The Move said earlier this week that it is our opinion that some PSC deals are likely to be signed next week.

Note: Asst. Secretary of State for African Affairs Jendayi Frazer is appearing at 4:45pm EST on C-SPAN (right now) to talk about Liberia, but could well be questioned by the handful of reporters in the State Dept. briefing room about U.S. opposition to a third term for President Olusegun Obasanjo of Nigeria. Harsh remarks about the issue have been attributed to her.
Update: The first question came from an Asian reporter who inquired about U.S. competition with China for African oil resources. Frazer's answer was unintelligible to this reporter.