HOUSTON, Aug. 23, 2012 (GLOBE NEWSWIRE) -- ERHC Energy Inc. (OTCBB:ERHE), a publicly traded American company with oil and gas assets in Sub-Saharan Africa, has announced the intensification of fund raising for its exploration programs in highly prospective acreages in East, Central and West Africa. ERHC is seeking finance from equity issuances to existing and new shareholders as well as from appropriate debt instruments and other arrangements. To facilitate the fund raising, ERHC's Board of Directors has passed resolutions to amend the Company's Restated Articles of Incorporation to increase the number of authorized shares of Common Stock from 950 million to 3 Billion and to authorize the Company's Board to create and issue, from shares of preferred stock currently authorized, one or more classes or series of preferred stock. The increase in share capital and authority on preferred stock will be subject to approval by a Special Meeting of Shareholders of ERHC scheduled for October 9, 2012. The meeting will be held at 3.00 p.m. at the Renaissance Houston Hotel, 6 Greenway Plaza East, in Houston, Texas. Shareholders of record at the close of business on August 22, 2012 are entitled to vote their shares for or against the proposed amendments. "Our work programs in Kenya, Chad and the Sao Tome and Principe Exclusive Economic Zone require substantial capital expenditures over the next few years, and the proposed amendments are intended to give the Company greater financial flexibility to realize the value of these highly prospective assets," said ERHC President and CEO Peter Ntephe. "Shareholder approval may make capital-raising easier for ERHC and enable the execution of pending work programs as well as more acquisitions, strategic alliances and other initiatives that are in the Company's and its shareholders' best interests." Proxy Statements will be mailed to shareholders of record on or about August 30, 2012. The Proxy Statement for the Special Meeting can be accessed electronically by visiting http://www.sec.gov/Archives/edgar/data/799235/000114036112038163/formdef14a.htm . ERHC will hold a conference call at 8:00 a.m. Central Time on Tuesday, August 28, 2012 to discuss third quarter 2012 financial results as well as the Company's plans for funding its upcoming exploration programs. Anyone interested in participating can access the call via phone or webcast. To access the call by phone, dial 888-669-0676 (US & Canada) or 201-604-0467 (international) at least 10 minutes prior to the call. To access the call online, click the link at ERHC's Investor Center, http://erhc.com/investors/ . ERHC holds oil and gas exploration interests in the Republic of Kenya, the Republic of Chad, the Sao Tome and Principe Exclusive Economic Zone (EEZ) and the Nigeria-Sao Tome and Principe Joint Development Zone (JDZ). In the Republic of Kenya, ERHC has 100 percent of the interest in Block 11A, which is in the vicinity of Block 10BB where significant oil discoveries have recently been announced. In the Republic of Chad, ERHC has 100 percent of the interest in BDS 2008 and Manga, and 100 percent interest in half of Chari-Ouest Block 3. In the EEZ, ERHC holds 100 percent working interests in Blocks 4 and 11 with an option to acquire up to 15 percent working interests in two more Blocks. In the JDZ, ERHC holds working interests in Blocks 2, 3, 4, 5, 6 and 9.
About ERHC EnergyERHC 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. The ERHC Energy Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=11579 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 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 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.
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