HOUSTON, March 18, 2013 (GLOBE NEWSWIRE) -- ERHC Energy Inc. (OTCBB:ERHE), a publicly traded American company with oil and gas assets in Sub-Saharan Africa, today announced it closed its rights offering at the close of business, Friday, March 15, 2013. As described in the Prospectus Supplement filed with the SEC on December 27, 2012 relating to the rights offering, the subscription agent, Corporate Stock Transfer, will now reconcile accounts.
Once all accounts have been reconciled, those who exercised subscription rights and those who exercised over-subscription privileges will receive the appropriate number of newly issued shares of ERHC Energy common stock. The reconciliation period is expected to take at least several days.
"We very much appreciate the support of all stockholders, but we especially wish to thank those who participated in this rights offering, which represents a major step toward proceeding with exploration and development activities in the Republics of Chad and Kenya," said ERHC President and CEO Peter Ntephe.ERHC's rights offering was an initial step in its fund raising strategy. The Company is already in discussions with new investors about raising additional funds through registered direct offerings. The amount the Company will seek to raise through these activities will depend on the outcome of the reconciliation of accounts from the rights offering, which is currently underway. As previously disclosed, ERHC is also continuing to work to farm-out a portion of its assets in Kenya, Chad and the São Tomé & Principe Exclusive Economic Zone (EEZ) to spread the risk. ERHC has a Production Sharing Contract with the Government of the Republic of Kenya on Block 11A in northwestern Kenya, in the vicinity of recent significant oil discoveries. The Company has interests in three oil blocks in Chad – Block BDS 2008, Manga and Chari-Ouest Block 3 – as well as a 100 percent working interest in Blocks 4 and 11 of the São Tomé and Príncipe EEZ free of signature bonuses. ERHC also has interests in six of the nine Blocks in the Nigeria - São Tomé & Principe Joint Development Zone.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts