Republic of Chad Issues Presidential Decree of Approval of ERHC Energy Inc. Production Sharing Contract
HOUSTON, Aug 23, 2011 - ERHC Energy Inc. (OTCBB: ERHE), a publicly traded American company with oil and gas assets in West and Sub-Saharan Africa, today announced that the Government of the Republic of Chad has formally issued the Decree of Approval for ERHC's Production Sharing Contract (PSC) over three oil blocks in Chad. The Decree of Approval, issued under the hand of the President of Chad, His Excellency President Idriss Deby Itno, formally signifies Government approval to ERHC's exploration activities in Chad as contained in the PSC.
In July, ERHC signed the PSC covering a 100 percent interest in BDS 2008, a 50 percent interest in Chari-Ouest 3 and a 100 percent interest in the Manga block. Both BDS 2008 and Chari-Ouest 3 are situated adjacent to the prolific Doba Basin oil fields which had an average daily production of over 122,500 barrels of crude oil in 2010. The Manga Block is north of the Lake Chad basin.
"We thank the Government of Chad for its demonstrated commitment to facilitating ERHC's oil exploration and production activities in Chad," said Peter Ntephe, ERHC's President/CEO. "ERHC looks to match the business-friendly approach of the Chadian Government with the quick commencement of ERHC's program toward successful exploration for hydrocarbons."
In addition to its Chad oil blocks, ERHC holds a 100 percent interest in two blocks in the São Tomé & Príncipe Exclusive Economic Zone as well as interests in six of the nine blocks of the Nigeria - São Tomé & Príncipe Joint Development Zone. Among the independents operating in Africa, ERHC is among the largest holders of exploration acreages in terms of number and size of blocks.
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.