Jack & ERHC Shareholders:
Here are highlights from the press release mentioned by Jack:
ERHC ENTERS INDONESIAN OIL AND GAS JOINT VENTURE
- BAPCO TOOL EXPECTED TO SIGNIFICANTLY INCREASE OUTPUT
FROM SUBSTANIAL RESERVES -
Broussard, LA July 22, 1997 -- Environmental Remediation Holding
Corp. (NASD otc BB: ERHC) announced today it had entered into a
joint venture with PT Klemens Group of Jakarta, Indonesia, for the
recovery, rework and operation of low producing oil and gas fields
in Indonesia.
The PT Klemens Group has arranged funding for the project and will
contribute a number of oil concessions that contain substantial
proven reserves. ERHC will provide the expertise of its subsidiary,
Bass American Petroleum Corp, and the use of the BAPCO Tool (TM), a
unique horizontal drilling device. The joint venture will be known
as PT Klemens/Bass Petroleum of Indonesia (PTK/BPI), an Indonesian
corporation.
PT Klemens president, Johanes Sitanggang remarked, "We have chosen
ERHC/BAPCO as a joint partner because of its advanced oilfield tech-
nology, specifically the BAPCO Tool. There are a tremendous number
of low producing wells in Indonesia that could benefit from this
technology."
According to Sam Bass, ERHC's Chairman and CEO, "ERHC is especially
pleased to join with PT Klemens in improving output from its oil and
gas concessions. We are thankful to Penny Fairchild of the Fairchild
group who represents PT Klemens in the United States, for her import-
ant role in successfully bringing our companies together. PT Klemens
has provided ERHC with a vast opportunity to demonstrate the effect-
iveness of the BAPCO Tool. We are confident that we can increase
production on most low producing wells by more than 300%."
To offset the natural decline in production rates in aging fields, a
number of secondary recovery programs have been implemented in Indo-
nesia. Unocal, one of the world's largest independent exploration and
production companies, reported that a successful horizontal well
drilling program in East Kalamantan now accounts for an additional
30,000 barrels per day of oil production. Unocal has drilled hori-
zontal wells in three fields it operates under a production sharing
agreement with Pertamina, Indonesia's national oil company.
Indonesia is Southeast Asia's largest economy. Its domestic oil
consumption has reached an estimated 850,000 b/d, while increasing
6-8% annually. Proven oil reserves total nearly 5 billion barrels,
and estimated reserves of another 10 billion. In 1996, Indonesia
produced an average of 1.572 million barrels of crude oil and 8.616
million cubic feet of gas per day. Indonesia's oil and gas exports
total about $9.3 billion annually, and it is the world's largest
natural gas exporter.
The Indonesian-based PT Klemens Group is a diversified organization
with a number of subsidiaries involved in oil and gas exploration
and production, shipbuilding, marketing, insurance and financial
services. PT Klemens is commited to Indonesia's deveolpment, and
the improvement of the nation's oil and gas production through new
oilfield technologies.
NOTE: The last paragraphs of the announcement describes ERHC's
activities, company contacts and the Safe Harbor Act Notice. I
elected not to include in this posting as I am sure readers are
already aware of these from previous announcements from the company.
Regards,
Jeff Williams |
