response from phil, page-19

kenpitt

I am not basing my shareprice target simply on a drill hole.

I am basing it on:

- what i think will be the reserves of both 430 and 330
- further exploration success...given the fact that their strike so far is 2 from 2
- the amount of cash they have comine to them once the options and converting shares are paid up (around $50 million) plus existing cash

12,000 BPD?????? err that would get us to a LOT higher than $3 lol...would be around $245M revenue (based on 40% interest) and with minimal costs that would value ERH at over $1 billion if looking at comparative PE ratios (and assuming a good size field. I doubt very much that will be achieved...but who knows.

I am not familiar with what OEX results so can't comment on the comparison...ie extent of oil interval etc. ERH oil interval at 430 was almost 150m however so if OEX is similar id be interested to hear about it???

Cdchi1