10-Q out today. Things of interest:
"Accrued salaries At June 30, 1997 and 1998 the Company has accrued salaries of, $0 and $1,757,699, respectively, for three officers. These officers can, at their option, convert these salaries into common stock of the Company at the rate of one-half of the average bid price of the Company's common stock for the months in which the salary was earned."
-One-half the average bid price. That could mean anywheres up to 5.6 million shares. OUCH!
"At the Nueces River Project, the Company is currently meeting with potential farm-out partners to work the project. ERHC believes Nueces River still holds tremendous development potential; however, until such time as the Company secures long term funding, of which there can be no assurance, it intends to look for alternative methods to develop this project."
-Oh well.
"During this quarter, the Company put back on line five (5) additional wells at the Wichita Falls fields located in North Texas. These wells, and the thirteen (13) which were previously opened, are currently producing approximately twenty (20) barrels a day in total. ERHC has determined that with oil prices down, it is not economically feasible at this time to continue with the redevelopment of this field or to rework the wells for increased production. At such time as oil prices reach $15 to $18 per barrel, the Company will reconsider its position."
-WOW! 20 barrels a day. That has got to be a record!
"In December 1997, the Company received a letter of intent from a registered brokerage house which contemplates a firm commitment public offering of approximately $50,000,000 of convertible debt securities. This offering, if it proceeds, is contemplated for late 1998. There is no assurance that such offering will be consummated."
-Late 98? Only time will tell. |
