BROUSSARD, La., June 19 /PRNewswire/ -- Environmental Remediation Holding
Corp. (OTC Bulletin Board: ERHC) announced today that it has entered into a
joint venture with The Democratic Republic of Sao Tome & Principe (DRSP) for
the development of the country's oil and gas reserves, and will act as the
country's primary liaison and consultant to the oil and gas industry. ERHC is
joined by Procura Financial Consultants, c.c. (PFC), of South Africa, as a
junior partner.
The archipelago of Sao Tome & Principe comprises two islands that straddle
the equator in the Gulf of Guinea, about 200 miles off the coast of Gabon,
West Africa.
The extensive agreement calls for a feasibility study of the country's oil
and gas reserves; the creation of a jointly owned company for the development
of certain oil and gas properties; ERHC/PFC to negotiate on the country's
behalf with the major oil companies for the leasing of all government
concessions; and oil and gas-related education of nationals in the United
States.
ERHC/PFC will provide funding and management for its 40% interest in all
joint-venture projects with the government. Another 20% will be set aside for
recouping project costs, and revenues will be tax-free with no restrictions
regarding the repatriation of funds. The partners will earn a royalty
interest in government concessions operated by other companies.
Noreen Wilson, ERHC's vice president, who negotiated the terms of the
joint venture, commented, "We are extremely pleased to have been chosen by the
government of Sao Tome & Principe in the development of their oil and gas
resources. Based on the preliminary test wells and seismic data, we believe
that the nation could realize hundreds of millions of dollars in revenues.
As part of the agreement, ERHC will establish a thorough environmental plan to
protect the DRSP's ecology and assist in its national economic development.
This forms a basis for other countries in the region to look to ERHC, and its
internationally renowned CEO, Sam Bass, to professionally assist them in
exploiting their oil and gas resources."
The Gulf of Guinea has become one of the most active exploration areas in
the African continent, and the former Portuguese colony is one of the last
countries in the area to develop oil and gas production. The gulf region has
been compared to the Gulf of Mexico, with potential reserves equal to those of
Kuwait.
The nation of Gabon's offshore production is approximately 360,000 barrels
per day of oil and more than 252 million cf per day of natural gas, with
offshore reserves alone estimated at 550 million bbl oil and condensate and
400 bcf gas. The nation of Cameroon, DRSP's neighbor to the north, reportedly
produces more than 600,000 barrels of oil per day, with some highly productive
off-shore wells close to DRSP's shores. Nigeria, Equatorial Guinea, and Ghana
have also developed large-scale on and off-shore oil production with the
participation of major international oil companies.
Sao Tome & Principe is a founding member of the Gulf of Guinea Commission,
which oversees the development of the region's oil and other natural
resources.
Environmental Remediation Holding Corporation is engaged in environmental
remediation, and oil and gas production activities, both domestically and
internationally. Through a series of acquisitions, the company has formed a
unique, full-service organization dedicated to providing oil and gas related
services to major oil companies and governmental institutions. This includes
environmental engineering and consultation; hazardous waste (including NORM
waste) and non-hazardous waste clean-up; manufacture and distribution of waste
clean-up materials; waste management, transportation and disposal; plug and
abandonment services (P&A); and the development and re-work of oil and gas
properties.
Safe Harbor Act notice: This release may contain forward-looking
statements that involve risks and uncertainties, including, without
limitation, continued acceptance of the company's services, increased levels
of competition, product and technological changes, hazardous waste control,
the company's dependence upon financing and third-party suppliers, and other
risks detailed from time to time in the company's federal filings, annual
report, offering memorandum, or prospectus.
SOURCE Environmental Remediation Holding Corporation
CONTACT: Noreen Wilson or Jim Griffin of ERHC, 516-433-9119; Nando Rita
of PFC, 011-239-1221-688; or Geoffrey C. Plank of GFC Communications,
561-655-7575 |
