This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

ERHC Energy Inc. Calls Response To Rights Offering 'Encouraging'

Stocks in this article: ERHE

HOUSTON, Feb. 21, 2013 (GLOBE NEWSWIRE) -- In the latest in a series of interviews with ERHC Energy Inc. (OTCBB:ERHE) management, Vice President, Administration and Controller, Sylvan Odobulu, reported that the Company views response to its ongoing rights offering as 'encouraging.' ERHC is a publicly traded American company with oil and gas assets in Sub-Saharan Africa. The Company's rights offering expires at 5:00 p.m., Central Time, on Thursday, February 28, 2013.

Odobulu called the rights offering an initial step in ERHC's efforts to raise funds needed for oil and gas exploration in Kenya and Chad as well as for general corporate purposes and working capital needs.

"The rights offering (is) not the only step by any means," said Odobulu. "We have several other steps planned, including possible registered direct offerings to new investors. How much we seek from new investors will depend on the degree of take-up of the rights offering by our existing shareholders, and nothing is definitive at this point in time."

The interview is posted online at http://erhc.com/articles/Odobulu-interview/.

In late December, ERHC distributed on a pro rata basis one non-transferable subscription right for every three shares of common stock owned. Shareholders as of the close of business December 17, 2012 are eligible to receive subscription rights, each of which entitles the holder to purchase one share of the Company's common stock at a subscription price equal to $0.075 per share. The rights offering also includes an over-subscription privilege.

ERHC previously announced  plans to pursue rift margin plays in Kenya and Chad similar to those that yielded major discoveries in neighboring Uganda as well as recent large discoveries in Kenya to the east of ERHC's Block 11A. Kenya is at the intersection of the Cretaceous Central African rift system and the Tertiary East Africa rift system, a geological occurrence that can contribute to a high potential for hydrocarbons.  In Chad, ERHC has delineated two focus areas situated directly north of numerous major discoveries on a rift margin along the Central African Shear Zone.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,320.39 -96.46 -0.55%
S&P 500 2,008.32 -12.93 -0.64%
NASDAQ 4,669.5990 -13.8080 -0.29%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs