ERHC Energy and São Tomé and Príncipe Set PSC Negotiations for EEZ Blocks v
HOUSTON, October 17, 2011 – ERHC Energy Inc. (OTCBB: ERHE), a publicly traded American company with oil and gas assets in Sub-Saharan Africa, and the National Petroleum Agency of São Tomé and Príncipe (ANP-STP) today announced they have agreed to start Production Sharing Contract (PSC) negotiations in mid-November. ERHC and the ANP-STP mutually agreed upon the basic parameters for conducting negotiations related to the Company’s two exploration Blocks in the São Tomé and Príncipe Exclusive Economic Zone (EEZ).
ERHC has a 100 percent working interest in Blocks 4 and 11 of the EEZ free of signature bonuses.
“We are delighted to be in receipt of formal invitation from the ANP-STP to begin PSC negotiations in mid-November,” said Peter Ntephe, ERHC’s President/CEO. “ERHC believes the EEZ has the necessary components of a successful petroleum system and we look forward to concluding the PSC process.”
According to the timetable set by the ANP-STP, ERHC's negotiations are scheduled to follow those of Oranto Petroleum, which has interests in EEZ Block 3, and Equator Exploration Limited, which has interests in EEZ Blocks 5 and 12. The ANP-STP announced the signing of a PSC with Oranto for EEZ Block 3 on October 13, 2011.
“We congratulate the ANP-STP and the government of São Tomé and Príncipe, under the leadership of His Excellency, Patrice Trovoada, for this landmark achievement,” said Mr. Ntephe. “The government, by word and deed, has demonstrated its determination to accelerate the oil exploration in São Tomé and Príncipe.”
Seismic data for EEZ Blocks 4 and 11 contain highly prospective structures and they are situated close to the proven hydrocarbon systems in the adjacent territorial waters of Gabon, Equatorial Guinea, Nigeria and Cameroon.
About ERHC Energy
ERHC Energy Inc. is a Houston-based independent oil and gas company focused on growth through high impact exploration in Africa and the development of undeveloped and marginal oil and gas fields. ERHC is committed to creating and delivering significant value for its shareholders, investors and employees, and to 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 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 Chad, the JDZ and the Exclusive Economic Zone 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.