HOUSTON, Sept. 23, 2014 (GLOBE NEWSWIRE) -- ERHC Energy Inc. (OTCBB:ERHE), a publicly traded American company with oil and gas assets in Sub-Saharan Africa, today issued an update on the Company's progress.
ERHC Shareholders:
ERHC is pleased to present highlights of the Company's recent progress.
Republic of Kenya Block 11A
- As announced last month, BGP successfully completed the 2D seismic program for Kenya Block 11A for the contracting parties.
- The seismic program completes the parties' obligations under the first phase of the exploration program and will form the basis for continuation of exploration under the second phase.
- Under the second phase of exploration, which lasts a further two years from the end of the first phase, CEPSA Kenya Limited (a wholly owned affiliate of Compañía Española de Petróleos, S.A.U. (CEPSA)) and ERHC are required to either acquire 3D seismic or proceed directly to drilling one exploration well during the additional two-year exploration period.
Republic of Chad Block BDS 2008
- Bridgeporth Ltd., a specialist geosciences company, is currently mobilizing in Chad to acquire gravity/magnetic data of BDS 2008 in southern Chad.
- As previously announced, ERHC has contracted Bridgeporth to fly 4,720 line kilometers over BDS 2008.
- ERHC continues to discuss with potential partners the possibilities of a farm-in into Block BDS 2008 to spread risk.
São Tomé and Príncipe Exclusive Economic Zone (EEZ) Block 11
- With the PSC now in effect, ERHC is currently working on the budget for the first 4-year exploration phase and other preliminary steps.
- As previously disclosed, the PSC contains three exploration phases spread over an eight-year period. Initially, the work program commits ERHC to purchase and re-process existing data and then carry out an aeromagnetic survey over the Block. ERHC is also committed to acquiring 2,500 km of 2D seismic data during the first phase.
Fundraising Activities
- ERHC continues to raise funds through the issuance of convertible notes. This is part of the Company's previously announced comprehensive fundraising program.
- Proceeds from the current issue are being applied to funding the Company's exploration work program in Chad, among other obligations.
- ERHC is also in discussions with private equity funds regarding potential strategic investment. These talks are preliminary in nature but management believes a significant private-equity investor could represent an important source of funding to help meet the Company's long-term obligations.
If you have questions, please reference the Company's SEC filings, which are available at http://erhc.com/secfilings/ or contact Daniel Keeney, ERHC's investor relations representative, at dan@dpkpr.com.
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 stockholders, 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.
Cautionary Statement
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 stockholders' 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 Kenya, 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.