ERHC Energy

Interview with Vice President of Corporate Development David Bovell

noemail@erhc.com — Wed, 19 Nov 2008 16:00:00 GMT

On November 5, 2008, ERHC Energy's Vice President of Corporate Development, David Bovell, was interviewed by RedChip TV following his presentation at RedChip’s Elite Investment Conference.

Watch the interview with Mr. Bovell by clicking here.

The interview, conducted by RedChip Companies Specialist Len Hardison, explored ERHC Energy's unique business model and the Company's portfolio of oil and gas assets in the deepwater Gulf of Guinea off the coast of West Africa.

In his RedChip presentation and later in this interview, Mr. Bovell disclosed that ERHC is expecting an independent and updated report on the Company's recoverable reserves potential in the near future.

Learn more about ERHC Energy's assets and operations by clicking here.

Mr. Bovell also discussed ERHC Energy's growth strategy -- the initiative to leverage the expertise of leadership by acquiring revenue producing assets.

"We believe we have a significant opportunity of creating an asset base in underappreciated and undervalued areas where we can replicate what we've achieved in West Africa," said Bovell.

About ERHC Energy
ERHC Energy Inc. is a publicly traded American company with valuable oil and gas assets in the in the highly prospective Gulf of Guinea. ERHC is committed to creating and delivering significant value for its shareholders, investors, and employees; sustainable and profitable growth through risk balanced smart exploration, cost efficient development and high margin production. For more information, visit www.erhc.com.

This press release contains statements concerning ERHC Energy Inc.’s future operating milestones, future drilling operations, the planned exploration and appraisal program, future prospects, future investment opportunities and financing plans, future shareholders’ meetings, response to the Senate Subcommittee investigation, developments in the SEC investigation of the Company and related proceedings, as well as other matters that are not historical facts or information. Such statements are inherently subject to a variety of risks, assumptions and uncertainties that could cause actual results to differ materially from those anticipated, projected, expressed or implied. A discussion of the risk factors that could impact these areas and the Company’s overall business and financial performance can be found in the Company’s reports and other filings with the Securities and Exchange Commission. These factors include, among others, those relating to the Company’s ability to exploit its commercial interests in the JDZ and the exclusive territorial waters of São Tomé and Príncipe, general economic and business conditions, changes in foreign and domestic oil and gas exploration and production activity, competition, changes in foreign, political, social and economic conditions, regulatory initiatives and compliance with governmental regulations and various other matters, many of which are beyond the Company’s control. Given these concerns, investors and analysts should not place undue reliance on these statements. Each of the above statements speaks only as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement to reflect any change in the Company’s expectations with regard thereto or any change in events, conditions or circumstances on which any of the above statements is based.

Cautionary Note to U.S. Investors - The United States Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We use certain terms on this Web site, such as "recoverable reserves potential," that the SEC's guidelines generally prohibit us from including in filings with the SEC. U.S. Investors are urged to consider closely the disclosure in our Form 10-K. You may review our filing with the SEC at the following Web site: www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0000799235.

19-Nov-08 10:00 AM

ERHC Energy Presentation at the 2008 Global Investment Symposium at the Burj Al Arab Hotel in Dubai.

noemail@erhc.com — Mon, 27 Oct 2008 06:15:00 GMT

ERHC Energy Dubai Presentation, October 27, 2008

View SlideShare presentation or Upload your own. (tags: oil gas)

SLIDE 1

(Title Slide)

Thank you for your time and interest in ERHC Energy. I am David Bovell, vice president corporate development of the company. We have an exciting company that is doing exciting things, and I expect you will find this time well spent. Before we get started…

SLIDE 2

Statements during this meeting may concern ERHC Energy Inc.’s future operating milestones. Such statements are subject to a variety of risks, assumptions and uncertainties. Please refer to our cautionary statements in your print-outs and posted on the ERHC Energy Web site at www.erhc.com.

SLIDE 3

I am proud to introduce you to ERHC Energy.

ERHC is based in North America’s energy capital, Houston, Texas. We are publicly traded on NASDAQ’s Over-the-Counter Bulletin Board exchange. Our stock ticker is ERHE.

We are here today to discuss two things: First, we will describe ERHC’s valuable oil and gas assets in the Gulf of Guinea. Second, we will explain our strategy for accelerated growth, which involves acquisitions and opportunities for new business relationships.

SLIDE 4

What makes ERHC different from many other small cap companies is that we are operating from a position of strength in many key areas. We have a sound business strategy and a successful record of implementing that strategy to great effect. We are in a strong financial position with strong, stable leadership. We have world class assets and long-term formal relationships with respected industry leaders.

In these are challenging economic times, you can’t over-state the importance of operating from a position of strength. While others face uncertainty, ERHC can capitalize in this environment to accelerate growth.

SLIDE 5

ERHC’s strategy is not complicated. More than a decade ago, the company made a breakthrough in an undervalued and under-appreciated part of the world. After years of hard work, we now have a strong strategic foothold in the Gulf of Guinea that is the envy of the oil and gas industry. Through our strategic alliances with industry leaders, we are now at a point where the value of these assets is about to be realized.

And, as we ready for exploration of our assets in the Gulf of Guinea to begin, we are taking that blueprint and pursuing other discoveries in parts of the world others either have overlooked or are afraid to venture into.

SLIDE 6

As I mentioned, we are implementing this strategy from a position of financial strength that not only effectively insulates ERHC from the credit crunch but also positions the company to prosper as other companies falter.
We operate a very lean company. Total expenses in the past four quarter were less than 4.5 million dollars. Our latest financial report showed cash assets totaled more than 32 million dollars and our debt is less than 35 thousand dollars.

We anticipate that this strong financial position will create opportunities.

SLIDE 7

In fact, the Wall Street Journal featured a story earlier this month that predicted a “big shakeout” in our industry as cash-strapped exploration and production companies scramble to find sources of revenue. It is good to be in a position of strength when others seeking help. I can tell you this: we are getting our calls returned!

SLIDE 8

A big reason we are in this position is that we are not a start-up or even a young company. ERHC has been operating in the oil and gas arena for decades. In the mid 1990s the company moved into the exploration and production marketplace and started accumulating assets. In 2001, we began trading of the OTC. Our stock remains in strong hands, with more than 50 percent held by insiders who share our long-term vision for ERHC. Our market cap is (213 million dollars as of October 8th).

SLIDE 9

We also have strong, stable leadership running the company. Peter Ntephe, our chief operating officer and acting CEO, is an expert in corporate governance and has been with ERHC since 2001; I am an expert in corporate finance; Jim Ledbetter has been guiding exploration and production efforts around the world for more than 25 years; and Sylvan Odobulu is a tight fisted operator. I am trying to figure out how I will explain my travel expenses for this trip to him!

SLIDE 10

Our board of directors plays an active role in guiding ERHC’s strategy. It includes experts in foreign affairs and diplomacy, oil and gas, and accounting. Through their leadership, we promote strong ethical conduct to ensure that we conduct business in the best interest of shareholders and maintain absolute integrity and transparency.

SLIDE 11

Now I am excited to discuss our world class oil and gas assets. So where is this oil?

SLIDE 12

It is here off the coast of central West Africa in an area known as the Gulf of Guinea. To give you a sense of perspective, you see the United States here with nothing but the Atlantic Ocean in between. This clear passage to North America is a strategic advantage for oil production in the Gulf of Guinea.

SLIDE 13

In a nutshell, there are two adjacent areas in the Gulf of Guinea in which ERHC Energy has interests. One is the Joint Development Zone and the other is the Sao Tome & Principe Exclusive Economic Zone. We’ll describe each in more detail in a moment, but suffice it to say, we have succeeded in gaining a significant presence throughout the region.

SLIDE 14

My family has a long history in the continent of Africa and I have great affinity for this region and high hopes for its people. The oil and gas industry will be very important in helping economies throughout the region blossom for generations to come.

What you see in this image tells you everything you need to know about why this is such a highly prospective oil and gas region. Over millions of years, the Niger Delta deposited organic sediment into the Gulf of Guinea that became crude oil. The Niger Delta has estimated proven oil reserves of 48 billion barrels.

These islands you see here – especially here in Sao Tome and Principe – are actually the tips of volcanoes that jut up from the floor of the Gulf. Until the past decade, few realized how promising the deep water surrounding Sao Tome and Principe could be. ERHC was among the first to recognize its oil and gas potential.

SLIDE 15

To provide a sense of perspective, these are several of the offshore oil and gas discoveries in areas just to the north of where ERHC has interests. They range in size from a half billion barrels to a billion barrels of oil.

SLIDE 16

Here is where the Joint Development Zone and the Sao Tome and Principe Exclusive Economic Zone are situated. The JDZ lies between Nigeria and Sao Tome and Principe and is being jointly developed by the two nations under a United Nations charter.

SLIDE 17

ERHC has rights in six of the nine JDZ Blocks. This chart shows the original participating interest that was awarded, the portion ERHC sold in 2006 to bring in strategic partners and generate working capital, and ERHC’s current interest:
• Block 2: 22%
• Block 3: 10%
• Block 4: 19.5%
• Block 5: 15%
• Block 6: 15%
• Block 9: 20%

SLIDE 18

The experts have analyzed what lies below the Gulf waters and they estimate that the combined recoverable reserves potential through the Joint Development Zone Blocks totals 14.4 billion barrels.

SLIDE 19

In composite, when you consider all nine JDZ Blocks, ERHC’s rights make up about 12 percent of the JDZ interests that have been awarded to date. The fact that our rights stretch across six of the nine JDZ Blocks gives us some degree of diversification in the event that some Blocks prove to be more prospective than other.

SLIDE 20

In the near-term, our focus is on three JDZ Blocks that are very close to the start of exploration. Here you see a 3-D seismic image of the first portion of the JDZ that will be explored. Moving left to right, you see the Lemba Prospect in JDZ Block 3 where Anadarko Petroleum is the operator and ERHC has a 10 percent working interest. Our technical partner, Addax Petroleum, estimates that Block 3 has 270 million barrels of oil. Next to it is JDZ Block 4, which most experts believe is the most prospective of all the JDZ Blocks. ERHC has a 19.5 percent working interest in Block 4. The operator is Addax, which estimates the Block has more than 1.1 billion barrels of oil. Then on the right side of this image, North and East of the other Blocks, is JDZ Block 2. We have a 22 percent working interest. Our technical partner, Sinopec, is the operator and Addax estimates that Block 2 has more than 430 million barrels of oil.

I want to emphasize that these are estimates and, based on improved information, these estimates continue to be refined. But these estimates offer a general sense of the massive scale of the opportunity there.

SLIDE 21

To give you more insight into why we are excited, this is a view of the Kina Prospect in JDZ Block 4, which will be the first JDZ Block in which ERHC has an interest to be explored. This seismic image is from the side showing the different layers of sediment and rock beneath the Gulf of Guinea – about one mile under water. This hump-like formation you see here is generally recognized as a sign of oil and gas prospectivity. Oil and gas are lighter than water and the upward pressure against the rock and sediment over tens of thousands of years has formed these humps.

SLIDE 22

Fortunately, drilling is very close. The operators of at least two – and perhaps three – of the JDZ Blocks have indicated that drilling is expected to commence in 2009.

SLIDE 23

A typical question is: “How does ERHC plan to pay its share of exploration and production costs?”

It was something we labored over before reaching a win-win-win solution back in 2005. We entered into advantageous strategic partnerships that align us with experienced exploration and production companies willing to pay our portion of the upfront costs. We will reimburse our partners for our share of the costs from ERHC’s share of the oil. Our partners win because they gained access to the JDZ, ERHC wins because it keeps upfront expenses to a minimum and manages risks, and everyone associated with JDZ wins with the involvement and stewardship of experienced exploration and production companies.

SLIDE 24

I don’t want to finish our discussion about ERHC’s world class assets without further acknowledging our interests in the Sao Tome and Principe EEZ. Exploration of this area is further out in the future, but it is important to note ERHC’s significant interests: ERHC has the right to acquire 100 percent working interest in two blocks of its choice in the EEZ, subject to the Democratic Republic of Sao Tome and Principe reserving three blocks of its choice. There are no signature bonuses to be paid on these two blocks. ERHC additionally has the right to acquire 15 percent working interest in any two blocks of its choice in the EEZ and would pay its proportionate share of signature bonus on these two blocks.

This is an opportunity we will continue to work toward in the coming decade.

SLIDE 25

As I said earlier, ERHC has entered into strategically advantageous partnerships with industry leaders. ERHC has a production sharing contract with Addax Petroleum for JDZ Blocks 2, 3 and 4. Addax is among the largest oil and gas producers in West Africa. Addax is the operator in JDZ Block 4 and, as is the case with ERHC, Addax has a strong foothold throughout the JDZ.

SLIDE 26

ERHC also has a production sharing contract with Sinopec in JDZ Block 2. Sinopec is also known as China Petroleum and Chemical Corporation. Sinopec is China’s second largest crude oil producer. It is the operator of JDZ Block 2.

SLIDE 27

Selling participating interests to Addax and Sinopec in fiscal year 2006 injected more than $45 million into ERHC. This is enough for ERHC to sustain years of operations and position the company to capitalize on opportunities. Entering into production sharing contracts in Blocks 2, 3 and 4 was an important step toward commercializing the Company’s interests in the JDZ and increasing shareholder value.

SLIDE 28

In each of these three JDZ Blocks, the only thing standing in the way of exploration is the limited availability of deepwater rigs. Otherwise, drilling locations are approved, budgets are set and equipment is ready.

SLIDE 29

Those who are familiar with the offshore drilling market may be aware that there has been a worldwide shortage of deepwater rigs. Our technical partners have been in advanced negotiations and are hoping to secure a rig to begin exploration in early 2009. Beyond that, we are hopeful that the challenging credit environment may loosen up the rig shortage and provide for greater flexibility in the future.

SLIDE 30

Looking toward the second half of 2009, our technical partners expect to take possession of the deepwater drill ship Aban Abraham. We expect the Aban Abraham will be very active in JDZ Blocks 2 and 4 in late 2009 and into 2010.

SLIDE 31

Recognizing that first oil is at least three to five years away, we are not taking a “wait and see” approach. We are pushing forward aggressively with an initiative to accelerate growth by duplicating what we have been able to accomplish in the Gulf of Guinea…

SLICE 32

Our strategy is to acquire revenue-producing assets in diverse geographic areas. Further, we are seeking new strategic alliances and business partnerships that can provide synergies and strategically complement our existing operations and assets.

SLIDE 33

Specifically, we are seeking acquisition opportunities that leverage ERHC’s technical and geographic expertise in energy, minerals and other natural resources. While we are mindful of our strengths in West Africa, we are assessing opportunities in a number of strategic areas.

SLIDE 34

In closing, we can say with confidence that we are closer than ever to beginning exploration in the Gulf of Guinea and expect that by this time next year exploration will be underway – possibly in two of the JDZ Blocks in which ERHC has interests…with a third not far behind.

And we will also be executing our strategy to replicate these successes elsewhere – discovering undervalued assets in parts of the world others have failed to recognize and efficiently bringing them to market. That is our core competency.

SLIDE 35

Thank you for the opportunity to introduce you to ERHC Energy Inc. I would be happy to entertain any questions.

# # #

27-Oct-08 0:15 AM

Article in MergerMarket: "EHRC Energy actively looking for acquisitions, CEO says"

noemail@erhc.com — Mon, 08 Sep 2008 22:00:00 GMT

The following article was published in the Wall Street publication, MergerMarket:

EHRC Energy actively looking for acquisitions, CEO says

ERHC Energy (OTC: ERHC), an independent oil and gas company based in Houston, Texas, is actively looking for acquisitions to push its expansion plans, said CEO Peter Ntephe.

The company, which focuses on exploration and exploitation of oil and gas reserves in the Gulf of Guinea, offshore of central West Africa, is interested in diversifying its portfolio. EHRC has a USD 400m market cap and potential buys include smaller energy companies listed on the Alternative Investments Market of the London Stock Exchange.

"We have two distinct options: we can acquire a listed-company or start ours from scratch. We are mostly interested in finding companies listed in the Alternative Investment Market (AIM) and have no particular focus on a geographic area. It is more about their mix of assets, which should complement what we do. If we can't find one, then we are open to creating one ourselves," said Ntephe. EHRC recently appointed David Bovell as its new vice president for Corporate Development.

In addition to being listed on the AIM, potential targets must have producing assets, according to the CEO. "All the assets we have in the Gulf of Guinea are prospective assets. They have huge potential but drilling should start in 2009 and we will only see oil in 2012. To balance that off, we are looking for companies or properties that have immediate revenue stream. Their geographic location is not important, what really matters is that the company is listed on AIM in London so that we have access to this market," explained Ntephe.

EHRC has 12% of the assets in the joint-development zone (JDZ), a 34,548 square kilometer area approximately 200 kilometers off the coastline of Nigeria and Sao Tome and Principe that is adjacent to petroleum discovery areas. The company operates with different partners and has interests in six of the nine blocks in the JDZ. In 2005 and 2006, EHRC sold participating interests to Addax Petroleum (trading as AXC on the Toronto and London Exchanges TSE and LSE) and Beijing-based oil company Sinopec, which injected more than USD 45m into ERHC.

by Danielle Duran Baron

8-Sep-08 5:00 PM

Comments of ERHC Energy's Peter Ntephe from Third Quarter 2008 Conference Call

noemail@erhc.com — Tue, 12 Aug 2008 15:00:00 GMT

The following comments were presented as part of ERHC Energy's Third Quarter 2008 Conference Call on August 12, 2008.

Erhc August Conf Call Final

View SlideShare presentation (tags: joint jdz guinea of)

Slide 1

Title Slide

Slide 2

(Dan Keeney)

Statements during this conference call may concern ERHC Energy Inc.’s future operating milestones. Such statements are subject to a variety of risks, assumptions and uncertainties. Please refer to our cautionary statements posted on the ERHC Energy Web site at www.erhc.com.

Slide 3

(Peter Ntephe)

Good morning! I am Peter Ntephe, Chief Operating Officer of ERHC Energy. I appreciate you taking time out of your busy day to learn about ERHC’s progress during the third quarter of fiscal year 2008.

With me on the call are:

James Ledbetter, ERHC’s vice president in charge of technical matters.

David Bovell, ERHC’s vice president in charge of corporate development.

Deon Warner of Warner & Associates, ERHC’s corporate counsel.

Mike Madigan and Michael Fitzpatrick represent ERHC on matters related to the government investigations.

We hold these investor conference call updates to keep you up to date on our recent progress and where we are headed in the near and longer term.

Slide 4

I am pleased to report that ERHC Energy remains on solid financial footing. Our cash assets continue to be substantial. And, with conservative cost controls in place, our expenses are down considerably from one year ago.

Slide 5

Through the end of June 2008, ERHC had cash assets totaling $32.4 million, compared to $35.7 million at the end of the third quarter in fiscal 2007. This chart shows that since the second quarter of 2006 when we had an infusion of cash from the sale of participation interests in 2006, our cash reserves have diminished by approximately 13 million dollars.

Slide 6

A major factor in maintaining these substantial cash reserves is the fact that the strict cost controls we implemented throughout the company continue to be effective in reducing our general and administrative expenses. During the quarter, this expense category was down nearly 25 percent compared with the third quarter last year. You would have to go all the way back to fiscal 2005 to find the last time we had such low expenses in a quarter.

Slide 7

Worth noting is the fact that ERHC’s legal expenses were considerably lower in the third quarter than they were a year ago due to reduction in required assistance in connection with investigations of the company. At the same time, however, we pushed forward with a communications strategy to spread the word about ERHC at various conferences, which partially offset those savings.

Slide 8

Moving on to the milestones we reached this year….

It seems like a long time ago, but back in April ERHC’s board, management and shareholders gathered in Houston and online for our annual shareholders meeting. We received many positive comments about the meeting.

We have also been introducing ERHC Energy to the investment community through presentations in San Francisco and London. These have been very worthwhile as we have an opportunity to tell our story to new audiences and attract interest from those who were not previously familiar with ERHC.

The company also sent a delegation to Sao Tome and Principe to participate in a recent business forum focused on the Joint Development Zone. It served as an opportunity to show ERHC’s passion and commitment for the development of the region and for the people of Sao Tome & Principe.

We also are happy that the London Court of International Arbitration has clarified the basis for division of the outstanding 9% interest between Addax Petroleum and ERHC regarding JDZ Block 4. The ruling confirmed that ERHC’s share of Block 4 increased to 19.5 percent. Addax WILL CARRY the exploration and production costs associated with the additional 1.8 percent that we received. Addax will not however pay ERHC any additional consideration for the 7.2% that Addax received out of the 9%.

And we – along with our technical partners Sinopec and Addax Petroleum – have secured approval from the Joint Development Authority for the first drilling location in JDZ Block 2…

Slide 9

If you look to the right of this image, you can see where the Bomu prospect in JDZ Block 2 is in relation to the other prospects and the Obo Discovery in Block 1…

Slide 10

And here is a closer view of Block 2 showing the Bomu prospect. Our technical partner, Sinopec, is the operator in JDZ block 2.

Slide 11

Looking ahead, we have a number of significant events that are sure to keep us busy, including completion of work on the Aban Abraham, assisting our technical partners in the effort to secure a rig to mitigate drilling delays, pushing forward with the growth strategy announced earlier in the year and responding to issues raised by some government representatives in Sao Tome and Principe about some of our rights in the JDZ.

Slide 12

Our latest information is that the Aban Abraham is expected to set sail in September. It has a commitment to another company before coming to ERHC’s technical partners, but the fact that work on the deepwater drillship is nearly complete is very good news.

We have a number of photos on our Web site if you would like to get a closer view of progress on the ship.

Slide 13

Since work on the Aban Abraham has been running behind schedule, Addax Petroleum has been working to secure a rig of opportunity. Addax wants to do all it can to meet its schedule for exploring the Kina Prospect in JDZ Block 4. We expect to continue assisting Addax in their efforts as needed.

Slide 14

Of course we will also be continuing to pursue the growth strategy we laid out at our annual shareholder’s meeting. There are many things that we look forward to sharing them with you when the time is right, but we can’t disclose yet because doing so would disadvantage the company in negotiations. We are exploring acquisition targets and financing options.

Finally, we are working to maintain good relations with the government and people of São Tomé & Príncipe in hopes of quickly resolving any questions about the status of ERHC’s interests in JDZ Blocks 5 and 6. As described earlier, ERHC sent representatives to the 2008 Investment Forum in São Tomé & Príncipe and we hope that our very visible involvement serves as an initial step toward addressing any questions.

Slide 15

In summary, we continue to make significant strides both financially and operationally that contribute to achieving our goal of maximizing shareholder value. Although many of the strategies that we are implementing do not bear fruit in a day or a week or a month, we are making progress step-by-step toward realizing the value of this company’s assets while responsibly managing risk.

Slide 16

Thank you very much for your time and interest in ERHC Energy. For more detailed information concerning the Joint Development Zone, the Nigeria-São Tomé and Principe Joint Development Authority, and the company’s Participation Agreements and Partnerships, I invite you to visit our Web site at www.erhc.com.

And now we would be happy to answer any questions you might have.

12-Aug-08 10:00 AM

Update from ERHC's Chief Operating Officer, Peter Ntephe

noemail@erhc.com — Wed, 30 Jul 2008 13:15:00 GMT

To ERHC Shareholders:

I am pleased to update the ERHC Energy family on the company’s recent progress.

We are happy that the London Court of International Arbitration has resolved the distribution of interests on Joint Development Zone (JDZ) Block 4 so that we and our consortium partner can focus entirely on starting drilling in JDZ Block 4 as quickly as possible. The issue related to a nine percent portion of Block 4 that was recovered from another consortium partner that had failed to meet certain obligations. The arbitration process was useful in clarifying the terms of our Participation Agreement with Addax.

As a result of the arbitration, ERHC now has a 19.5 percent interest in JDZ Block 4 (up from 17.7 percent). Addax Petroleum will continue to carry the costs associated with ERHC’s total interests in the Block. Throughout the process, ERHC and Addax Petroleum maintained their close working relationship.

Work continues on refurbishing the deepwater drillship Aban Abraham, which has been contracted by our technical partners Addax and Sinopec Corp. to commence drilling operations in the JDZ. We have posted a number of photographs of the ship on our Web site.

Addax continues its efforts to mitigate delays in the delivery of Aban Abraham by looking for a rig of opportunity. Addax is still pointing to the possibility that drilling in JDZ Block 4 will commence in due course. I continue to caution that there are many contingencies that affect operations of this nature and guidance for when exploratory drilling may commence could change. We will look to the operators of each of the Blocks to make the relevant announcements.

Also related to the JDZ, we understand that there have been reports on the status of our interests in Blocks 5 and 6. Our legal entitlement to those rights is recognized by international treaty and enshrined in comprehensive legal agreements. We remain committed to exploiting those rights. The Company is, however, working to understand the recently expressed concerns of representatives of the Democratic Republic of Sao Tome & Principe.

Meanwhile, ERHC is moving forward with its growth strategy. We are looking at the opportunities for listing or acquiring a subsidiary listed on an appropriate Exchange such as the Alternative Investments Market of the London Stock Exchange. The move will provide the means, in terms of capital and structure, for growth of ERHC’s asset portfolio.

We consider this growth strategy essential to diversify and mitigate the risks associated with being entirely tied to just one set of core assets in Gulf of Guinea. We have been discussing these initiatives with potential investors through our presentations at the RedChip Small Cap Investors Conference in San Francisco, the Growth Company Investors Show in London, the Sub Saharan Africa Oil & Gas Conference in Houston. We also participated at the Nortia Capital Partners’ Equities Conference by the Beach in Atlantic City. For those who have not been able to witness any of the presentations, a replay of the RedChip presentation is available online.

The events gave us an opportunity to spread the word about ERHC’s past and present, and its plans for the future. They also enabled us to engage personally with the investment community, to listen to questions and concerns, and to describe our vision for ERHC in the years to come. Our goal is to forge lasting and trusting relationships with investment bankers, fund managers, institutional investors, research analysts and the investment community as a whole. The feedback has been very positive and we are preparing to present at the 2008 Global Investment Symposium in Dubai, which runs October 26-28, 2008. It will of course take time to spread the message as far and as wide as we want but we have made it a priority to continue to tell ERHC’s story to the larger investment community.

Finally, work is well underway on ERHC’s third quarter financial report for the period that ended June 30th. We shall hold an Investor Conference Call on August 12, 2008 at 9:00 a.m. Eastern Time (8:00 a.m. Central Time). To participate, please dial 877-890-0968 (domestic) or 706-902-1710 (international) five to ten minutes before the call begins and reference the pass code 57619351.

A simultaneous live Webcast of the call will be available over the Internet and will be accessible by going to www.livemeeting.com/cc/erhcenergy/join and entering the Meeting ID: 7QC7M4 and Entry Code: 8JR#pbw.

A replay of the call will be available from Tuesday, August 12, 2008 at 10:00 a.m. Eastern Time through August 19, 2008 by dialing 800-642-1687 (domestic) or 706-645-9291 (international) and providing the following replay code: 57619351. In addition, the Webcast will be available for replay until September 12, 2008 by going to www.livemeeting.com/cc/erhcenergy/join and entering the Meeting ID: 7QC7M4 and Entry Code: 8JR#pbw.

ERHC Energy remains focused on enhancing value for the benefit of its shareholders. We continue to count on your trust and support.

Sincerely,

Peter Ntephe
Chief Operating Officer

This document contains statements concerning ERHC Energy Inc.’s future operating milestones, future drilling operations, the planned exploration and appraisal program, future prospects, future investment opportunities and financing plans, future shareholders’ meetings, response to the Senate Subcommittee investigation, developments in the SEC investigation of the Company and related proceedings, as well as other matters that are not historical facts or information. Such statements are inherently subject to a variety of risks, assumptions and uncertainties that could cause actual results to differ materially from those anticipated, projected, expressed or implied. A discussion of the risk factors that could impact these areas and the Company’s overall business and financial performance can be found in the Company’s reports and other filings with the Securities and Exchange Commission. These factors include, among others, those relating to the Company’s ability to exploit its commercial interests in the JDZ and the exclusive territorial waters of Sao Tome and Principe, general economic and business conditions, changes in foreign and domestic oil and gas exploration and production activity, competition, changes in foreign, political, social and economic conditions, regulatory initiatives and compliance with governmental regulations and various other matters, many of which are beyond the Company’s control. Given these concerns, investors and analysts should not place undue reliance on these statements. Each of the above statements speaks only as of the date of this document. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement to reflect any change in the Company’s expectations with regard thereto or any change in events, conditions or circumstances on which any of the above statements is based.

30-Jul-08 8:15 AM