ERHC Energy Inc. (OTCMKTS:ERHE) a publicly traded U.S. firm with oil and gas assets in Sub-Saharan Africa, issued updates on Company recent activities. The updates were provided by Dr. Peter Ntephe, who is the President and CEO of the company.
ERHC CEO said that the exploration team has discovered the Tarach-1 prospect as the drilling site for the first exploration well. The decision was based on assessment of 1,086.6 km of 2D seismic data bought by CEPSA who is the operating partner of the company. The exploration team deems the Tarach prospect as the most appealing mapped prospect.
During the assessment of the seismic data, the exploration team identified thirteen drillable prospects and leads in the respective basin. The mean prospective resources of all leads and prospects totaled 645 million barrels. The Tarach-1 prospect is based in the central region of the basin. The mean approximation of oil prospective resources is 65 million barrels. Also, ERHC CEO stated that the exploratory well is anticipated to spud in March 2016.
ERHC and CEPSA have started preparations for drilling prospect with tender processes in progress on major items. Depending upon the results, the company and CEPSA might decide to start drilling process of a second exploratory well, known as the Egole-1. While company’s exploration team continues to make plans for a 2-D seismic purchase plan, management has been in talks with interested potential farm-out associates. ERHC presently holds a 100% interest in BDS 2008.
Dr. Ntephe further added that the company will focus to use its resources on the continuance of its exploration licenses. The company continues to reduce expenses sharply on all aspects, including but not confined to investor relations activities, while vigilantly analyzing the fundraising alternatives available in a contracted oil and gas market.