10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington D.C. 20549

FORM 10-Q

(Mark One)

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2013

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ____________ to ____________

Commission File Number 0-17325

(Exact name of registrant as specified in its charter)

Colorado	88-0218499
(State of Incorporation)	(I.R.S. Employer Identification No.)

5444 Westheimer Road

Suite1440

Houston, Texas 77056

(Address of principal executive offices, including zip code)

(713) 626-4700

(Registrant's telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 (the “Exchange Act”) during the preceding 12 months (or for such shorter period that the registrant was required to file such reports); and, (2) has been subject to such filing requirements for the past 90 days.  Yes  x     No  o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer  o	Accelerated filer o
Non-accelerated filer x	Smaller reporting company o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes o     No   x

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date:

The number of shares of common stock, par value $0.0001 per share, outstanding as of April 30, 2013, was 764,429,260

TABLE OF CONTENTS

ERHC ENERGY INC.

Part I. Financial Information		Page
Item 1.	Financial Statements	5
	Unaudited Consolidated Balance Sheets at March 31, 2013 and September 30, 2012	5
	Unaudited Consolidated Statements of Operations for the Three and Six Months Ended March 31,2013 and 2012, and for the period from inception, September 5, 1995 to March 31, 2013	6
	Unaudited Consolidated Statements of Other Comprehensive Loss for the Three and Six Months Ended March 31, 2013 and 2012, and for the period from inception, September 5, 1995 to March 31, 2013	7
	Unaudited Consolidated Statements of Cash Flows for the Six Months Ended March 31, 2013 and 2012,and for the period from inception, September 5, 1995 to March 31, 2013	8
	Notes to Unaudited Consolidated Financial Statements	10
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	13
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	26
Item 4.	Controls and Procedures	26
Part II. Other Information
Item 1.	Legal Proceedings	27
Item 6.	Exhibits	29
	Signatures	30

2

Forward-Looking Statements

ERHC Energy Inc. (also referred to as “ERHC” or the “Company” and denoted by the use of the pronouns “we,” “our” and “us” as the case may be in this Report) or its representatives may, from time to time, make or incorporate by reference certain written or oral statements of historical fact, statements that include, but are not limited to, information concerning the Company’s possible or assumed future business activities and results of operations and statements about the following subjects:

● business strategy;

● growth opportunities;

● future development of concessions, exploitation of assets and other business operations;

● future market conditions and the effect of such conditions on the Company’s future activities or results of operations;

● future uses of and requirements for financial resources;

● interest rate and foreign exchange risk;

● future contractual obligations;

● outcomes of legal proceedings including, without limitation, the ongoing investigations of the Company;

● future operations outside the United States;

● competitive position;

● expected financial position;

● future cash flows;

● future liquidity and sufficiency of capital resources;

● future dividends;

● financing plans;

● tax planning;

● budgets for capital and other expenditures;

● plans and objectives of management;

● compliance with applicable laws; and,

● adequacy of insurance or indemnification.

These types of statements and other forward-looking statements inherently are subject to a variety of assumptions, risks and uncertainties that could cause actual results, levels of activity, performance or achievements to differ materially from those expected, projected or expressed in forward-looking statements.  These risks and uncertainties include, among others, the following:

● general economic and business conditions;

● worldwide demand for oil and natural gas;

● changes in foreign and domestic oil and gas exploration, development and production activity;

● oil and natural gas price fluctuations and related market expectations;

● termination, renegotiation or modification of existing contracts;

● the ability of the Organization of Petroleum Exporting Countries, commonly referred to as “OPEC”, to set and maintain production levels and pricing, and the level of production in non-OPEC countries;

● policies of the various governments regarding exploration and development of oil and gas reserves;

● advances in exploration and development technology;

● the political environment of oil-producing regions;

● political instability in the Democratic Republic of Săo Tomé and Príncipe (“DRSTP”), the Federal Republic of Nigeria and the Republic of Chad;

● casualty losses;

● competition;

● changes in foreign, political, social and economic conditions;

● risks of international operations, compliance with foreign laws and taxation policies and expropriation or nationalization of equipment and assets;

● risks of potential contractual liabilities;

● foreign exchange and currency fluctuations and regulations, and the inability to repatriate income or capital;

● risks of war, military operations, other armed hostilities, terrorist acts and embargoes;

● regulatory initiatives and compliance with governmental regulations;

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● compliance with tax laws and regulations;

● customer preferences;

● effects of litigation and governmental proceedings;

● cost, availability and adequacy of insurance;

● adequacy of the Company’s sources of liquidity;

● labor conditions and the availability of qualified personnel; and,

● various other matters, many of which are beyond the Company’s control.

The risks and uncertainties included here are not exhaustive.  Other sections of this report and the Company’s other filings with the U.S. Securities and Exchange Commission (“SEC”) include additional factors that could adversely affect the Company’s business, results of operations and financial performance.  Given these risks and uncertainties, investors should not place undue reliance on our statements concerning future intent.  Our statements included in this report speak only as of the date of this report.  The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any of our statements to reflect any change in its expectations with regard to the statements or any change in events, conditions or circumstances on which any forward-looking statements are based.

4

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

ERHC ENERGY INC.

A CORPORATION IN THE DEVELOPMENT STAGE

UNAUDITED CONSOLIDATED BALANCE SHEETS

	March 31,			September 30,
	2013			2012
ASSETS
Current assets:
Cash and cash equivalents	$	4,412,522		$	7,665,990
Restricted cash		1,645,468			-
Investment in Oando Energy Resources		570,192			540,912
Prepaid expenses and other		278,070			320,725
Total current assets		6,906,252			8,527,627
Oil and gas concessions		10,054,903			10,046,303
Furniture and equipment, net of accumulated depreciation of $239,443 and $175,195 at March 31, 2013 and September 30,2012, respectively		286,399			47,783
Income tax receivable		2,018,533			2,018,398
Total assets	$	19,266,087		$	20,640,111
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable and accrued liabilities	$	577,079		$	610,790
Signing bonus payable - Chad		4,000,000			5,000,000
Total current liabilities		4,577,079			5,610,790
Commitments and contingencies
Shareholders' equity:
Preferred stock, par value $0.0001; authorized 10,000,000 shares; none issued and outstanding		-			-
Common stock, par value $0.0001; authorized 950,000,000 shares; issued and outstanding 764,429,260 and 739,458,854 shares at March 31, 2013 and September 30, 2012, respectively		76,443			73,947
Additional paid-in capital		101,028,011			99,479,431
Accumulated other comprehensive loss		(779,807	)		(809,087	)
Losses accumulated in the development stage		(85,635,639	)		(83,714,970	)
Total shareholders’ equity		14,689,008			15,029,321
Total liabilities and shareholders' equity	$	19,266,087		$	20,640,111

The accompanying notes are an integral part of these unaudited consolidated financial statements.

5

ERHC ENERGY INC.

A CORPORATION IN THE DEVELOPMENT STAGE

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS

													September 5,
													1995 (Inception)
	Three Months Ended March 31,						Six Months Ended March 31,						to March 31,
	2013			2012			2013			2012			2013
Costs and expenses:
General and administrative	$	839,723		$	1,173,139		$	1,857,313		$	2,213,238		$	88,271,340
Depreciation		39,215			3,436			64,248			7,280			1,587,755
Gain on sale of partial
Interest in DRSTP concession		-			-			-			-			(30,102,250	)
Write-offs and abandonments		-			-			-			-			7,742,128
Total costs and expenses		(878,938	)		(1,176,575	)		(1,921,561	)		(2,220,518	)		(67, 498,973	)
Other income and (expenses):
Interest income		463			2,950			898			4,419			4,851,502
Gain  from settlements		-			-			-			-			130,178
Other income		-			-			-			-			439,827
Interest expense		(6	)		-			(6	)		-			(12,145,342	)
Provision for loss on deposits		-			-			-			-			(5,292,896	)
Loss on extinguishment of debt		-			-			-			-			(5,749,575	)
Total other income and (expense)		457			2,950			892			4,419			(17,766,306	)
Loss before benefit (provision) for income taxes		(878,481	)		(1,173,625	)		(1,920,669	)		(2,216,099	)		(85,265,279	)
Benefit (provision) for income taxes:
Current		-			-			-			-			(1,330,360	)
Deferred		-			-			-			-			960,000
Total benefit (provision)for income taxes		-			-			-			-			(370,360	)
Net loss	$	(878,481	)	$	(1,173,625	)	$	(1,920,669	)	$	(2,216,099	)	$	(85, 635,639	)
Net loss per common share - basic and diluted	$	(0.00	)	$	(0.00	)	$	(0.00	)	$	(0.00	)
Weighted average number of common shares outstanding basic and diluted		739,458,854			738,933,854			739,458,854			738,933,854

The accompanying notes are an integral part of these unaudited consolidated financial statements.

6

ERHC ENERGY INC.

A CORPORATION IN THE DEVELOPMENT STAGE

UNAUDITED CONSOLIDATED STATEMENTS OF OTHER COMPREHENSIVE LOSS

															September 5,
															1995 (Inception)
	Three Months Ended March 31,							Six Months Ended March 31,							to March 31,
	2013			2012				2013			2012				2013
Net loss	$	(878,481	)		$	(1,173,625	)	$	(1,920,669	)		$	(2,216,099	)	$	(85,635,639	)
Other comprehensive income (loss) on available for sale securities		(280,225	)			-			29,280				-			(779,807	)
Other comprehensive loss	$	(1,158,706	)		$	(1,173,625	)	$	(1,891,389	)		$	(2,216,099	)	$	(86, 415,446	)

The accompanying notes are an integral part of these unaudited consolidated financial statements

7

ERHC ENERGY INC.

A CORPORATION IN THE DEVELOPMENT STAGE

UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS

							September 5,
							1995 (Inception)
	Six Months Ended March 31,						to March 31,
	2013			2012			2013
Cash Flows From Operating Activities:
Net loss	$	(1,920,669	)	$	(2,216,099	)	$	(85, 635,639	)
Adjustments to reconcile net loss to net cash Used in operating activities:
Depreciation and depletion expense		64,248			7,280			1,587,755
Provision for loss on deposits		-			-			5,292,896
Write-offs and abandonments		-			-			7,742,128
Deferred income taxes		-			-			(2,018,398	)
Compensatory stock options		10,898			2,179			1,343,030
Gain from settlement		-			-			(617,310	)
Gain on sale of partial interest in DRSTP concession		-			-			(30,102,250	)
Amortization of beneficial conversion feature associated with convertible debt		-			-			2,793,929
Amortization of deferred compensation		-			-			1,257,863
Loss on extinguishment of debt		-			-			5,669,500
Stock issued for services		-			-			20,897,077
Stock issued for settlements		-			-			225,989
Stock issued for officer bonuses		-			28,342			5,221,638
Stock issued for interest and penalties on convertible debt		-			-			10,631,768
Stock issued for board compensation		-			-			2,725,949
Changes in operating assets and liabilities:
Prepaid expenses and other current assets		(88,481	)		(30,739	)		(409,204	)
Accounts payable and other accrued Liabilities		(33,711	)		(19,758	)		(2,570,897	)
Accounts payable and accrued liabilities,related party		-			-			55,844
Accrued retirement obligation		-			-			365,000
Net cash used in operating activities		(1,967,715	)		(2,228,795	)		(55,543,332	)

The accompanying notes are an integral part of these unaudited consolidated financial statements.

8

ERHC ENERGY INC.

A CORPORATION IN THE DEVELOPMENT STAGE

UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS

							September 5,
							1995 (Inception)
	Six Months Ended March 31,						to March 31,
	2013			2012			2013
Cash Flows From Investing Activities:
Purchase of long-term investment		-			-			(5,292,896	)
Purchase of and deposits on oil and gas concessions		(1,008,600	)		(50,599			(8,789,403	)
Proceeds from sale of partial interest in DRSTP  concession		-			-			45,900,000
Proceeds from sale of U.S. Treasury bills		-			-			5,011,000
Purchase of U.S. Treasury bills and  accrued interest		-			(3,285	)		(5,011,000	)
Purchase of investment in marketable   equity securities		-			-			(1,350,000	)
Restricted cash		(1,645,468	)		-			(1,645,468	)
Purchase of restricted certificate of deposit		-			-			(131,000	)
Proceeds from sale of restricted certificate of deposit		-			131,000			131,000
Purchase of furniture and equipment		(171,863	)		(2,600	)		(1,169,930	)
Net cash provided by (used in) investing activities		(2,825,931	)		74,516			27,652,303
Cash Flows From Financing Activities:
Proceeds from warrants exercised					-			160,000
Proceeds from common stock, net of expenses		1,540,178			-			10,316,727
Proceeds from line of credit, related party		-			-			2,750,000
Proceeds from non-convertible debt, related party		-			-			158,700
Proceeds from convertible debt, related party		-			-			8,207,706
Proceeds from sale of convertible debt		-			-			9,019,937
Proceeds from bank borrowing		-			-			175,000
Proceeds from stockholder loans		-			-			1,845,809
Proceeds from stock subscription receivable		-			-			913,300
Repayment of shareholder loans		-			-			(1,020,607	)
Repayment of long-term debt		-			-			(223,021	)
Net cash provided by financing activities		1,540,178			-			32,303,551
Net increase (decrease) in cash and cash equivalents		(3,253,468	)		(2,154,279	)		4,412,522
Cash and cash equivalents, beginning of period		7,665,990			7,137,151			-
Cash and cash equivalents, end of period	$	4,412,522		$	4,982,872		$	4,412,522
Supplemental cash flow information – Noncash investing activities
Unrealized gain (losses) on securities		29,280						(779,807	)
Reclass of prepaid expenses to furniture and equipment		131,000						131,000

The accompanying notes are an integral part of these unaudited consolidated financial statements.

9

ERHC ENERGY INC.

A CORPORATION IN THE DEVELOPMENT STAGE

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1 – BASIS OF PRESENTATION AND BUSINESS ORGANIZATION

The consolidated financial statements included herein, which have not been audited pursuant to the rules and regulations of the Securities and Exchange Commission, reflect all adjustments which, in the opinion of management, are necessary to present a fair statement of the results for the interim periods on a basis consistent with the annual audited financial statements.  All such adjustments are of a normal recurring nature.  The results of operations for the interim periods are not necessarily indicative of the results to be expected for an entire year.  Certain information, accounting policies and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America, have been omitted pursuant to such rules and regulations, although ERHC Energy Inc. (“ERHC” or the “Company”) believes that the disclosures are adequate to make the information presented not misleading. These financial statements should be read in conjunction with the Company’s audited financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2012.

Restricted cash

Restricted cash represent proceeds received from the Rights Offering which were held in escrow as of March 31, 2013.  The amount was made available for use by the Company in its operations in April 2013.

Recent accounting pronouncements

There have been no recently issued accounting pronouncements that have had or are expected to have a material impact on the Company’s consolidated financial statements.

NOTE 2 – FAIR VALUE OF FINANCIAL INSTRUMENTS

The Company adopted new guidance as of October 1, 2008, related to the measurement of the fair value of certain of its financial assets required to be measured on a recurring basis. Under the new guidance, based on the observability of the inputs used in the valuation techniques, the Company is required to provide the following information according to the fair value hierarchy.  The fair value hierarchy ranks the quality and reliability of the information used to determine fair values.  Financial assets and liabilities carried at fair value will be classified and disclosed in one of the following three categories:

● Level 1 — Quoted prices in active markets for identical assets or liabilities.

● Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or, other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

● Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Interest income on cash and cash equivalents is recognized as earned on the accrual basis.

Investments are reported at fair value, determined based on the quoted prices in an active market for identical assets and classified as Level 1 under the ASC 820.

During the six months ended March 31, 2013, the Company’s investment in the common stock and warrants of OER, a Canadian oil and gas company that trades on the Toronto Stock Exchange (TSX) increased in value by $29,280. This increase in value is included as an increase in stockholders' equity in accumulated other comprehensive income.

10

NOTE 3 – OIL AND GAS CONCESSIONS

The following is an analysis of the cost of oil and gas concessions at March 31, 2013 and September 30, 2012:

	March 31,		September 30,
	2013		2012
DRSTP concession	$	2,839,500	$	2,839,500
Chad concession		6,800,600		6,800,600
Kenya concession		326,073		326,073
Pending concessions in other African countries		88,730		80,130
	$	10,054,903	$	10,046,303

NOTE 4 - STOCKHOLDERS' EQUITY

During the six months ended March 31, 2013, the Company recognized compensation expense of $10,898 related to options granted to the Board of Directors and Officers in fiscal year 2012.  As of March 31, 2013, there are 4,150,000 options outstanding; none of which are exercisable.  600,000 options were forfeited during the period.  These options have a weighted average remaining term of nine months and an intrinsic value of zero. Unamortized compensation cost related to these options amounted to $20,874 which is expected to be recognized over the remaining nine months vesting period.

During the six months ended March 31, 2013, there were no new warrants granted and none were exercised, cancelled or expired.  As of March 31, 2013, the Company has 13,777,729 outstanding and exercisable warrants with a weighted average exercise price and remaining term of $0.32 per share and 1.96 years, respectively.  As of March 31, 2013, these warrants have an intrinsic value of zero.

Rights Offering

On December 17, 2012 the Company implemented a rights offering under the terms of which each shareholder was entitled to non-transferable subscription rights to purchase shares of common stock at a subscription price of $0.075 per share. Under the rights offering, the Company offered up to 246,486,285 shares of its common stock (or roughly 33% of outstanding shares at the date of the offering).  On December 27, 2012 the Company issued one subscription right to current shareholders for every three shares of common stock held at the December 17, 2012 record date.  The Rights Offering was closed on March 15, 2013 and resulted to net proceeds to the Company of $1,540,178 from the exercise of approximately 22,000,000 subscription rights (including certain oversubscription privileges). A total of 24,970,406 shares were issued from the Rights Offering.

NOTE 5 – COMMITMENTS AND CONTINGENCIES

COMMITMENTS UNDER PRODUCTION SHARE CONTRACTS

Republic of Kenya Concession Fees and Other Financial Commitments

On June 28, 2012, ERHC entered into a production sharing contract ("PSC") with the Government of the Republic of Kenya for hydrocarbon exploration and production of Block 11A located in northwestern Kenya.

As of March 31, 2012, ERHC paid in full the requisite signature bonus of $310,000.  ERHC is committed under terms of the PSC to spend at least $10,250,000 over the first two years on a minimum work program and an additional $30,000,000 in each of the following two periods of two years each.

Additionally, under the terms of the PSC, during the initial exploration term of two years that started in the first quarter of 2013, ERHC will pay surface fees of $54,000 per year and annual training fees of $175,000 per year.  During the quarter, ERHC paid these fees for the 2013 to the government of Kenya.

Republic of Chad Concession Fees and Other Financial Commitments

On June 30, 2011, ERHC entered into a production sharing contract ("PSC") with Chad for onshore hydrocarbon exploration and development in three blocks. Under terms of the PSC as sealed by the Approval Law issued subsequently, a total signature bonus of $6,000,000 is payable by ERHC.  The PSC requires that the signature bonus be paid as follows:  $1,000,000 upon transmittal of an Approval Law by Chad to ERHC, $4,000,000 is due within 90 days of the later of (a) a publication of the Approval Law in Chad’s official gazette and (b) a notification of ERHC of the Award Order, and $1,000,000 is due 120 days after the date of transmittal of the Approval Law to ERHC.

11

As of March 31, 2013, ERHC has paid or incurred:

a. $2,000,000 out of the signature bonus commitment with the balance of $4,000,000 in accrual

b. $480,000 as legal fees and costs for the drafting and negotiation of the PSC, as provided for in the PSC

c. $312,600 in advisers’ and ancillary costs related to the PSC

ERHC is also committed under the PSC to:

a. Spend at least $15,000,000 over the first five years on a minimum work program and at least an additional $1,000,000 over a further period of up to three years.

b. Pay surface fees of $27,000 per calendar year during the first validity period, and lasting for up to eight years.  Surface fees for subsequent periods will depend on the exploration progress as well as on the acreage retained by ERHC.

As of March 31, 2013, particular milestones are outstanding including certain financial obligations as provided in the PSC, as indicated above. Management is currently pursuing the formal extension of timelines for the commencement of the work program and meeting of pecuniary obligations under the PSC with the Government of Chad.  The formal timeline extensions will enable the conclusion of administrative and other obligations on both sides (including the setting up of a management committee for the exploration) that are a pre-requisite to the effective execution of ERHC’s PSC commitments.

LEGAL PROCEEDINGS

JDZ BLOCKS 5 AND 6

Arbitration and Lawsuit

The Company’s rights in JDZ Blocks 5 and 6 are currently the subject of legal proceedings at the London Court of International Arbitration and the Federal High Court in Abuja, Nigeria.  The Company instituted both proceedings in November 2008 against the JDA and the Governments of Nigeria and Săo Tomé and Príncipe.  The Company seeks legal clarification that its rights in the Blocks remain intact.

The issue in contention is entirely contractual. The Company was awarded a 15 percent working interest in each of the Blocks in a 2004/5 bid/licensing round conducted by the JDA following the Company’s exercise of preferential rights in the Blocks as guaranteed by contract and treaty.  The JDA and the Government of STP contend that certain correspondence issued by a previous CEO/President of the Company in 2006 amount to a relinquishment of the Company’s rights in Blocks 5 and 6 under the Company’s contracts with STP which provide for the rights.  The Company contends that no such relinquishment has occurred and has sought recourse to arbitration accordingly. It also filed the suit to prevent any tampering with its said rights in JDZ Blocks 5 and 6 pending the outcome of arbitration.

Suspension of Proceedings on the Arbitration and Lawsuit

Proceedings on the suit and the arbitration are currently suspended while the Company pursues amicable settlement with the Governments of Nigeria and Săo Tomé & Príncipe. As of March 31, 2013, the suit and arbitration remained suspended while the Company continued to pursue settlement.

Routine Claims

From time to time, ERHC may be subject to routine litigation, claims, or disputes in the ordinary course of business.  ERHC intends to defend these matters vigorously.  The Company cannot predict with certainty, however, the outcome or effect of any of the arbitration or litigation specifically described above or any other pending litigation or claims.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following discussion should be read in conjunction with the Company’s unaudited consolidated financial statements (including the notes thereto) and Item 1A of Part II; “Risk Factors,” included elsewhere in this report and the Company’s audited consolidated financial statements and the notes thereto, Item 7; and  “Management’s Discussion and Analysis of Financial Condition and Plan of Operations” and Item 1A, “Risk Factors” included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2012.  The Company’s historical results are not necessarily an indication of trends in operating results for any future period.   References to “ERHC” or the “Company” mean ERHC Energy Inc., a Colorado corporation, and, unless expressly stated or the context otherwise requires, its wholly owned subsidiary.

CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION

We are including the following cautionary statement to make applicable and take advantage of the safe harbor provision of the Private Securities Litigation Reform Act of 1995 for any forward-looking statements made by us, or on our behalf.  This Quarterly Report on Form 10-Q contains forward-looking statements.  Forward-looking statements include statements concerning plans, objectives, goals, strategies, expectations, future events or performance and underlying assumptions and other statements which are other than statements of historical facts.  Certain statements contained herein are forward-looking statements and, accordingly, involve risks and uncertainties which could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements.  Our expectations, beliefs and projections are expressed in good faith and are believed by us to have a reasonable basis, including without limitations, management's examination of historical operating trends, data contained in our records and other data available from third parties, but there can be no assurance that management's expectations, beliefs or projections will result or be achieved or accomplished.  In addition to other factors and matters discussed elsewhere herein, the following are important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements: geopolitical instability where we operate; our ability to meet our capital needs; our ability to raise sufficient capital and/or enter into one or more strategic relationships with one or more industry partners to execute our business plan; our ability and success in finding, developing and acquiring oil and gas reserves; our ability to respond to changes in the oil exploration and production environment, competition, and the availability of personnel in the future to support our activities.

Overview

ERHC Energy Inc., a Colorado corporation, (“ERHC” or the “Company”) was incorporated in 1986. The Company is in the business of exploration for oil and gas resources in Africa. The Company’s business includes working interests in exploration acreage in the Republic of Kenya (“Kenya”), the Republic of Chad (“Chad”), the Joint Development Zone (“JDZ”) between the Democratic Republic of Săo Tomé and Príncipe (“STP”), the Federal Republic of Nigeria (“FRN” or “Nigeria”), and the exclusive economic zone of Săo Tomé and Príncipe (the “Exclusive Economic Zone” or “EEZ”).

ERHC’s strategy in Kenya and Chad is to perform exploration work and further establish the prospectivity of assets acquired through Production Sharing Contracts (PSCs) with the governments of both countries.  ERHC plans to raise up to $48 million to cover the projected costs of exploration in the near future.  ERHC is simultaneously entertaining discussions with other exploration and production companies which want to farm into ERHC’s interests in Kenya and Chad.  ERHC expects that such farm-in arrangements, if entered into, might lower the risk and cost of the exploration programs to ERHC.

The Company’s strategy in the JDZ and EEZ is to farm out its working interests to well established oil and gas operators for valuable consideration including upfront cash payments and being carried for ERHC’s share of the exploration costs.  This has already been done successfully on Blocks 2, 3 and 4 of the JDZ where ERHC has benefited from partnerships with Addax Petroleum and Sinopec Corporation, which have operated some of the license areas on behalf of ERHC.

ERHC is now pursuing a similar approach for JDZ Blocks 5, 6 and 9 as well as for blocks in the EEZ.

Apart from its oil and gas exploration activities in Kenya, Chad, the JDZ and the EEZ, ERHC continues to pursue other oil and gas opportunities on the African continent. These opportunities also include the possible acquisition of significant equity stakes in other oil and gas exploration and production companies and the resulting indirect interest in the underlying exploration and production assets of such other companies.

REPUBLIC OF KENYA

ERHC Kenya Acreage

In June 2012, after several months of negotiations between ERHC and the Government of Kenya, the Government awarded block 11A for oil and gas exploration and development in Kenya to the Company.  The block is ERHC’s first exploration acreage in East Africa and further diversifies the Company’s portfolio of oil and gas assets.

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The Company holds a 90% interest in Block 11A, which encompasses 11,950.06 square kilometers or 2.95 million square acres.  The Government of Kenya has a 10% carried participating interest up to the declaration of commerciality and may thereafter acquire an additional 10% interest in the PSC in which case the total Government participation would rise to 20%. Circle Limited (www.circleoilandgas.com) (“Circle”) acted as finder in ERHC’s acquisition of the Block by facilitating ERHC’s entry into Kenya, including the introduction of Dr. Peter Thuo, ERHC’s Kenya-based geoscientist and technical adviser who provided liaison services in the pursuit of ERHC’s application. Circle’s involvement provided significant efficiencies, including substantial cost savings, in ERHC’s application process.  By virtue of the terms of the business finder’s agreement reached between Circle and ERHC, Circle is entitled to receive a 5% payment on the value of the acquisition accruing resulting to ERHC from the application.  Circle has opted to receive this fee in the form of a carried 5% of ERHC’s total interest.

Kenya Oil Background and Overview

East Africa has emerged in recent years as arguably one of the most exciting, new oil provinces in the world with major discoveries of oil in Uganda’s Block 1 (EA1), and Kenya’s Ngamia-1, and large gas discoveries, including the Zafarani find, offshore Tanzania.

The regional geology and structural evolution of Block 11A in Kenya is dominated by the Cretaceous Central Africa Rift System (CARS) and the Tertiary East Africa Rift System (EARS) with the associated basin depositional trends.  The main surface feature of Block 11A is the Lotikipi plain. This broad depression measures approximately 110 km from east to west.

The proximity and in-trend relationship between the Lotikipi plain and the Abu Gabra Rift basins of southern Sudan suggest high oil and gas prospectivity.  The southern Sudan basins are established petroleum provinces. Surface exposures of the sedimentary units with potential source and reservoir value, represented by the Cretaceous/Paleogene Lapur Formation of the Turkana Grits, give an indication of the sediments that might be encountered beneath the Lotikipi plain.

Gravity data, acquired earlier in the area, enabled the delineation of a sedimentary basin within the Block 11A area below the Lotikipi plain. The basin-fill is believed to be in excess of 5,000 meters, well above the threshold for sufficiently buried and mature organic matter for oil generation. Additionally, gravity data derived from satellite suggest extensions of the Tertiary Rift system into the south western part of Block 11A

Block 11A is in the vicinity of blocks operated by one of the most prolific oil and gas explorers in Africa. Drilling activity in area has resulted in successful wells, including Ngamia-1and the Twiga-South-1 in Block 10BB.

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Oil and Gas occurrences in the region

Production Sharing Contract (PSC) on ERHC’s Block in Kenya

On June 28, 2012, the Company signed a Production Sharing Contract (PSC) on Block 11A with the Government of Kenya.  A PSC is an agreement that governs the relationship between ERHC (and any future joint-venture partners) and the Government of Kenya in respect of exploration and production in the Block awarded to the Company.  The PSC details, among other things, the work commitments (including acquisition of data, drilling of wells, social projects, etc.), the time frame for completion of the work commitments, production sharing between the parties and the Government, and how the costs of exploration, development and production will be recovered.

Exploration Term and Key Provisions of the PSC

The initial exploration period is two years from the effective date of the PSC. The effective date falls ninety days after the execution of the PSC.  The Company is expected to begin exploration operations within three months of the effective date.  The initial exploration period is extendable for two additional two-year exploration periods contingent upon fulfillment of Company’s work and expenditure obligations under the PSC.

If not renewed, the PSC expires automatically at the end of the initial exploration period or at the end of any additional exploration period unless a commercial discovery is made before the exploration period expires.  In the case of a commercial discovery of crude oil in a relevant development area, the PSC will run for a development period term of 25 years.  In the case of a commercial discovery of natural gas in a relevant development area, the PSC will run for a development period term of 35 years.

The PSC provides for a mandatory surrender of 25% of the original contract area by the end of the initial exploration period and 25% of the remaining contract area by the end of the first additional exploration period. In the case of a commercial discovery of crude oil in a relevant development area, such development area is excluded from the original contract area for the purpose of surrender calculation.  Furthermore, ERHC may surrender an additional part of the contract area and such voluntary surrender shall be credited against the next surrender obligation.  The PSC will terminate in case of a surrender of the entire contract area.

The PSC requires a signature bonus of $310,000 which the Company paid in full on signature of the PSC.  The PSC also requires the Company, upon entry into each exploration period, to provide a bank guarantee of 50% and a parent company guarantee of 50% of its minimum expenditure obligations in respect of the work program for each exploration period.

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Proposed Exploration Work Program

The PSC with the Government of Kenya obliges ERHC to carry out the following minimum work program:

(A) During the Initial Exploration Period of Two  (2) Contract Years – Minimum Work and Expenditure Obligations:

· Acquire and interpret 1,000 km2 of gravity and magnetic data (at a minimum cost of -  US $ 250,000) and

· Acquire and interpret 1,000 Km/line of 2D seismic data (at a minimum cost of – US $ 10,000,000)

(B) During the First Additional Exploration Period of Two (2) Contract Years: Minimum Work and Expenditure Obligations to:

· Acquire 750 km2 high density of 3D seismic data (at a minimum cost of  US $ 30,000,000), or

OR

· Drill one (1) well to a minimum depth of 3,000 m (at a minimum cost of US $30,000,000

(C) During the Second Additional Exploration Period of Two (2) Contract Years: Minimum Work and Expenditure Obligation to:

· Drill one (1) well to a minimum depth of 3,000m (at an approximate cost of US $ 30,000,000).

However, if the Company satisfactorily completes the minimum work obligations without having spent up to the minimum expenditure, the Company will be deemed to have satisfied its obligations under the PSC.

Status and Developments in Kenya at March 31, 2013

As of March 31, 2013, ERHC was preparing for the rollout of activities on its exploration work program in Kenya Block 11A and simultaneously entertaining discussions with other companies interested in farming into the Block.  Subsequently, on May 5, 2013, the Company announced that it had signed a letter of intent with an integrated international oil and gas company for a farm-out of part of the Company’s interest in the Block.

The Company’s potential partner is a renowned multinational operator with exploration and production interests spread across several continents. The parties are proceeding to negotiate the definitive terms for a farm-out. Any agreement reached will be subject to the approvals of the respective boards of both companies and of the Government of Kenya.

Until a definitive farm-out agreement is entered into and approved, ERHC continues to operate Kenya Block 11A. ERHC’s work program under the PSC is continuing apace. The Company is currently reviewing bids from several service companies for process management and execution of a Full Tensor Gravity Gradiometry (FTG) survey of the Block. The FTG survey is an airborne survey that aids significantly in the structural mapping of prospective hydrocarbon basins. It has contributed to some recent, commercial oil discoveries in Uganda and Kenya.

Prior to the commencement of EIA and FTG activities, ERHC expects to hold a town-hall meeting with local communities and other stakeholders within the Block to explain the proposed activities.  ERHC will convene the meeting in conjunction with the Kenyan Ministry of Energy.

 REPUBLIC OF CHAD

ERHC’s Chad Acreage

In June 2011, after several months of negotiations between ERHC and the Government of Chad, the Government awarded three blocks for oil and gas exploration and development in Chad to the Company.  The initial period of exploration of these blocks commenced on July 12, 2012 with the publication, in Chadian Government’s Gazette Principal, of the Exclusive Exploration Authorization, granted to ERHC by the Government of Chad.

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The names of the blocks and the sizes of Company's respective interests are as follows:

Block	ERHC Interest	Net ERHC acreage
Manga	100%	6,477 square kilometers or 1,600,501 acres
BDS 2008	100%	16,360 square kilometers or 4,042,644 acres
Chari-OuestOust III	50%	4,500 square kilometers or 1,111,974 acres

Chad Oil Background and Overview

The country covers almost 1,284,000 km2 and is situated in what has become a golden triangle of African oil production.  Chad is bordered by Libya, Nigeria and Sudan which are among Africa’s largest producers of crude oil.  Cameroon which borders Chad in the South West is also a net exporter of crude oil..

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Chad is now amongst Sub-Saharan Africa’s more significant crude oil producers.  The country has reported proven oil reserves of 1.5 billion barrels with recent studies indicating that there is the potential for more discoveries.  Production came on stream in 2003 when a consortium of Chevron, Esso E&P (Exxon) and PETRONAS brought the Miandoum field into production.  Production followed from the Kome and Bolobo fields in 2004 while the Nya, Moundouli and Maikeri fields went into production between 2005 and 2007.  In 2007, the Chinese National Petroleum Company (“CNPC”) began producing from the Mimosa and Ronier fields in the Bongor basin in South Western Chad.

Chad began to export oil in 2004.  The export route is through the Chad-Cameroon pipeline completed in 2003 at a cost of over $3.7 billion.  The pipeline runs 1,000 km from Chad’s prolific Doba basin through Cameroon’s Logone Birni basin to the port of Kribi in the Gulf of Guinea with an estimated capacity of 225,000 bopd.  The capacity of the pipeline is significantly larger than Chad’s current production which in 2010 averaged 122,500 bopd.  A new 300 km pipeline has been constructed to transport crude oil from the Koudalwa field in the South Western Chari-Buguirmi region to the Djarmaya refinery.  The Djarmaya refinery, situated about 40 km North of N’Djamena, Chad’s capital, was built as a joint venture between CNPC and the Chadian state oil company, SHT.  The refinery became operational in July 2011 and has an initial capacity of 20,000 barrels of oil per day which is planned to rise to 60,000 barrels of oil per day.

ERHC has a 100% interest in the Manga Block which is north of Lake Chad, along the border with Niger.  The Company also has 100% interest in BDS 2008 and 100% interest in the northern half of Chari-Ouest Block 3 which lie next to the prolific Doba and Doseo Basin oilfields. In 2010, the Doba and Doseo Basin oilfields had an average production of 122,500 barrels of crude oil per day.  BDS 2008 is also bounded by the Bongor basin which hosts the producing Mimosa and Ronier fields.  Extensive exploration activity in the three basins has resulted in a large number of recent discoveries, including the Benoy-1 in Chari-Ouest Block 3 by the Taiwanese Company, OPIC.  The Benoy-1 discovery, adjacent to ERHC’s license area, is estimated to have the potential for up to 9,800 barrels of high-quality, light crude per day and 1.2 million cubic feet of natural gas per day.

The Doba and Doseo basins are part of the Central African rift system.  They contain up to 10 km of non-marine sediments recording the complex tectonic and climatic evolution of the region from Early Cretaceous to the present. The Doba basin is within the oil-proved zone confirmed by the M’biku and Belanga Wells.  The Doseo Basin is one of the tertiary–cretaceous Chad rift basins.  The basin is bordered by the Central African Republic in the South and South East. Wells drilled in this basin include Kedini-1, Keita-1, Kibea-1, Kikwey-1, Maku-1, Nya-1, North Sako-1, Tega-1, Bambara-1 and Bona Kaba-1.  These wells were drilled by Exxon and Conoco and all discovered hydrocarbons except for Keita-1 and Bona Kaba-1

ERHC plans to focus its work program initially on the BDS 2008 and Chari Ouest III Blocks in Southern Chad. ERHC’s holdings in the two Blocks encompass 20,860 square kilometers or 5.155 million acres.  Both Blocks are located on the north flank of the Doba/Doseo basin, where Esso and partners have been active in exploration and development projects in the area for decades.  ERHC recently invited eligible contractors to submit expressions of interest in providing Environmental Impact Assessment (EIA), gravity/magnetic and seismic acquisition services in the focus area.  Furthermore, the proximity of the Chad-Cameroon pipeline to these blocks provides necessary infrastructure for the exploitation of potential oil and gas reserves.

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Production Sharing Contract (PSC) on ERHC’s Three Blocks in Chad

On July 6, 2011, the Company announced that it had signed a Production Sharing Contract (PSC) on the three oil blocks with the Government of Chad.  A PSC is an agreement that governs the relationship between ERHC (and any future joint-venture partners) and the Government of Chad in respect of exploration and production in the Blocks awarded to the Company.  The PSC details, among other things, the work commitments (including acquisition of data, drilling of wells, social projects, etc.), the time frame for completion of the work commitments, production sharing between the parties and the Government, and how the costs of exploration, development and production will be recovered.  The PSC requires a signature bonus of $6 million, $1 million of which was paid upon transmittal of an Approval Law by Chad to ERHC in July 2011, $4 million are due within 90 days of the later of (a) a publication of the Approval Law in Chad’s official gazette and (b) a notification of ERHC of the Award Order, and $1 million is due 120 days after the date of transmittal of the Approval Law to ERHC.  ERHC is currently pursuing the formal extension of timelines for the commencement of the work program and meeting of pecuniary obligations under the PSC with the Government of Chad.

Exploration Term

During the quarter ended, June 30, 2012 the Government of the Republic of Chad issued an Exclusive Exploration Authorization (EEA) to ERHC in respect to the three blocks covered by ERHC’s PSC in Chad. The EEA authorizes ERHC to undertake oil and gas exploration operations in the Chari-Ouest III, BDS 2008 and Manga Blocks in Chad, which are covered by the PSC.  The initial period of exploration of these blocks commenced on July 12, 2012 with the publication, in the Chadian Government’s Gazette Principal, of the Exclusive Exploration Authorization, granted to ERHC by the Government of Chad.  The initial term of the Exclusive Exploration Authorization is five years and can be renewed for three more years.

Proposed Exploration Work Program

ERHC has proposed a minimum exploration work program on the basis of the full 8-year exploration period subject to such modification as might be required following the exploration work undertaken during the initial 5-year period of the Exclusive Exploration Authorization.  The minimum expenditure over the initial period is US $16 million in addition to a balance of US $4 million on the signature bonus.

In the event of a discovery and commercial production from the Company’s blocks, the Company and any partners that have participated in the exploration will be entitled to recover up to 70% of the net hydrocarbon production (less any production royalty) as cost oil, until all the costs for exploration and development have been recovered. Production royalty is 14.25% in the case of crude oil and 5% in the case of natural gas.  No guarantee can be given that there will be production in commercial quantities from the Company’s exploration acreage in Chad.

ERHC’s proposed exploration work program covers the three blocks as a whole and broadly is as follows:

During the Initial Period of 5 years of the Exploration Phase, ERHC plans to carry out regional geology and field studies utilizing existing well logs and 2D seismic data. Construct regional structure isopach and facies maps and cross-sections at key formation tops,, organize the G&G database and perform basin evaluation and modeling to describe petroleum system and migration paths.  This will be followed by geophysical work such as the acquisition and study of available gravity and magnetic surveys to define the major structural elements, possible reprocessing of the existing 2D seismic data, and interpretation of the existing 2D seismic data to prepare regional structure maps at key formations and tectonic horizons, followed on by acquisition of 2D seismic over the prospects and leads based on the outcome of gravity/magnetic and 2D seismic interpretations of existing seismic to better define the prospects. If necessary, acquisition of 3D seismic data to further analyze the prospects prior to drilling.

If suitable drill-ready prospects are identified in this Initial Period of 5 years, there is a possibility ERHC might elect to drill its exploration well in this period. However, because the PSC does not require the drilling of an exploration well in this Initial Period, the well could be drilled in the following 3 year Renewal Period.

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Status and Developments in Chad at March 31, 2013

The Company’s proposed 2013 work program in Chad will concentrate on two focus areas in BDS-2008 with the goal of identifying leads and prospects for future drilling. Focus area 1 is situated directly north of the Tega and Maku oil discoveries made by Esso in the 1980s and focus area 2 is situated directly east of recent discoveries made by OPIC. Regional stratigraphic mapping indicates the presence of alluvial fan deltas and lacustrine deltas in ERHC’s areas of interest, which provide both reservoir and seal rocks. As in Kenya, the Company plans to pursue rift margin plays in Chad similar to those that led to recent major discoveries in East Africa.  ERHC’s current plans are to conduct a Full Tensor Gravity Gradiometry (FTG) survey over these focus areas. Prior to this an environmental impact study will be performed.

(a) As of March 31, 2013, management was pursuing the formal extension of timelines for the commencement of the work program and meeting of pecuniary obligations under the PSC with the Government of Chad.  ERHC’s work program in Chad for 2013 and 2014 has subsequently been approved by the government of Chad. The work program involves a Full Tensor Gravity Gradiometry (FTG) survey to define the major structural elements of ERHC’s BDS 2008 block, which is the focus block for the approved work program. The FTG will be preceded by an Environmental Impact Assessment (EIA) of the focus area. FTG acquisition measures minute changes of the earth's gravity caused by differences in density in the local geology. When combined with known geologic information, FTG data will be used to assess geological structures.  This activity will help the Company better identify potential leads and prospects and help determine where future additional 2D seismic acquisition is required.

NIGERIA – SAO TOME AND PRINCIPE JOINT DEVELOPMENT ZONE (“JDZ”)

Background of the JDZ

In the spring of 2001, the governments of Săo Tomé & Príncipe and Nigeria reached an agreement over a long-standing maritime border dispute.  Under the terms of the agreement, the two countries established the JDZ to govern commercial activities within the disputed boundaries.  The JDZ is administered by the JDA which oversees all future exploration and development activities in the JDZ.  The revenues derived from the JDZ will be shared 60/40 between the governments of Nigeria and Săo Tomé & Príncipe, respectively.

ERHC’s Rights in the JDZ

In April 2003, the Company and the DRSTP entered into an Option Agreement (the “2003 Option Agreement”) in which the Company relinquished certain financial interests in the Joint Development Zone (“JDZ”) in exchange for exploration rights in the JDZ.  The Company additionally entered into an Administration Agreement with the Nigeria-Săo Tomé and Príncipe Joint Development Authority (“JDA”).  The Administration Agreement is the formal agreement by the JDA that it will fully implement ERHC’s preferential rights to working interests in the JDZ acreage as set forth in the 2003 Option Agreement and describes certain procedures regarding the exercising of these rights.  Following the exercise of ERHC’s rights as set forth in the 2003 Option Agreement, the JDA confirmed the award in 2004 of participating interests to ERHC in JDZ Blocks 2, 3, 4, 5, 6 and 9 of the JDZ.  Subsequently, ERHC jointly bid with internationally renowned technical partners for additional participating interests in the JDZ during the 2004/5 licensing round conducted by the JDA.

The following represents ERHC’s current rights in the JDZ blocks:

JDZ Block	ERHC Original Participating Interest	ERHC Joint Bid Participating Interest	Participating Interest(s) Assigned	Current ERHC Retained Participating Interest
2	30.00%	35.00%	43.00%	22.00%
3	20.00%	5.00%	15.00%	10.00%
4	25.00%	35.00%	40.50%	19.50%
5	15.00%	-	-	15.00% (in arbitration)
6	15.00%	-	-	15.00% (in arbitration )
9	20.00%	-	-	20.00%

The Original Participating Interest is the interest granted pursuant to the 2003 Option Agreement. ERHC has not assigned or transferred any of its participating interests in Blocks 5, 6 and 9.

ERHC’s Participating Agreements in the JDZ

The following are the particulars of the Participating Agreements by which ERHC transferred some of its participating interests in JDZ Blocks 2, 3 and 4 to technical partners so that the technical partners would operate the Blocks and carry ERHC’s proportionate share of costs in the Blocks until production, if any, commenced from the Blocks:

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Date of Participation Agreement	Party(ies) to the Participation Agreement	Participating Interest(s) Assigned			Participating Interest Assigned Price
JDZ Block 2 - Participation Agreement - ERHC Retained Interest of 22.00%
March 2, 2006	Sinopec International Petroleum Exploration Production Co. Nigeria Ltd - a subsidiary of Sinopec International Petroleum and Production Corporation		28.67	%	$	13,600,000
	Addax Energy Nigeria Limited - an Addax Petroleum Corporation subsidiary		14.33	%	$	6,800,000
JDZ Block 3 - Participation Agreement - ERHC Retained Interest of 10.00%
February 15, 2006	Addax Petroleum Resources Nigeria Limited - a subsidiary of Addax Petroleum Corporation		15.00	%	$	7,500,000
JDZ Block 4 - Participation Agreement - ERHC Retained Interest of 19.50%
November 15, 2005	Addax Petroleum Nigeria (Offshore 2) Limited - a subsidiary of Addax Petroleum Corporation		40.50	%	$	18,000,000

Under the terms of the Participation Agreements Sinopec and Addax agreed to pay all of ERHC’s future costs for petroleum operations (“the carried costs”) in respect of ERHC's retained interests in the blocks.  Additionally, Sinopec and Addax are entitled to 100% of ERHC’s allocation of cost oil plus up to 50% of ERHC’s allocation of profit oil from the retained interests on individual blocks until Sinopec and Addax Sub recover 100% of ERHC’s carried costs.

On or about October 2, 2009, Sinopec International Petroleum Exploration and Production Corporation acquired all of the outstanding shares of Addax Petroleum Corporation

OPERATIONS IN THE JDZ

ERHC has working interests in six of the nine Blocks in the JDZ, as follows:

· JDZ Block 2: 22.0%

· JDZ Block 3: 10.0%

· JDZ Block 4: 19.5%

· JDZ Block 5: 15.0% (in arbitration)

· JDZ Block 6: 15.0% (in arbitration)

· JDZ Block 9: 20.0%

The working interest percentages represent ERHC’s share of all the hydrocarbon production from the blocks and obligates ERHC to pay a corresponding percentage of the costs of drilling, production and operating the blocks.  Through Exploration Phase 1 in blocks 2, 3 and 4, these costs have been carried by the operators.  The operators can only recover their costs by carrying ERHC until production whereupon the operators will recover their costs from production revenues.

ERHC’s interests in the JDZ Blocks are in various stages of exploration. JDZ Blocks 2, 3 and 4 were the focus of an exploration campaign that concluded in January 2010.  To date, no Production Sharing Contracts have been signed by ERHC in either JDZ Block 5 or 6, and no operatorship has been awarded in JDZ Block 9.

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In 2009, Sinopec and Addax, ERHC’s technical partners and operators in Blocks 2, 3 and 4 undertook an exploratory drilling campaign across the three blocks that was completed in January 2010.  That drilling campaign was a coordinated effort made possible by two important transactions undertaken by Addax and Sinopec during 2009: (1) Addax’s acquisition of Anadarko Petroleum’s interest in Block 3, allowing Addax to become the operator in the Block 3 and (2) Sinopec’s acquisition of Addax.

The drilling campaign was completed in January 2010 with a total of five wells drilled as follows:

· The Kina-1 well in JDZ Block 4

· The Bomu-1 well in JDZ Block 2

· The Lemba-1 well in JDZ Block 3

· The Malanza-1 well and Oki East-1 well in Block 4

Biogenic gas was discovered in each block and discussions continue between the Joint Development Authority and the parties, including ERHC, that hold interests in JDZ Blocks 2, 3 and 4, regarding drilling results. The meetings with the JDA are aimed at reaching a definitive agreement on how to proceed with the next stage of exploration in the Blocks following the expiration of Exploration Phase I in March 2012.

General Information on Current Operations in Blocks 2, 3 and 4

Exploration Phase 1 (as extended) in Joint Development Zone (JDZ) Blocks 2, 3 and 4 expired on March 14, 2012.

Under the contractual terms governing the Blocks, the three potential courses of action at the expiration of an Exploration Phase are:

1. The operators (Addax and Sinopec), the rest of the parties and the JDA could agree to enter into Phase 2 of the exploration program which requires the drilling of at least one more well in each Block.

2. The operators, the rest of the parties and the JDA could agree upon a further extension of Exploration Phase 1.

3. The operators could decide not to pursue future exploration of the Blocks and terminate their involvement in the Blocks, leaving the rest of the parties and the JDA to decide whether to adopt any of the two other courses of action stated before.

The operators’ decision whether to continue or not will be the key factor in determining what course of action will be adopted next in JDZ Blocks 2, 3 and 4.

ERHC and its technical partners have obtained very valuable information regarding the stratigraphy, sedimentology and structure of JDZ Blocks 2, 3 and 4 in the five-well drilling campaign undertaken between 2009 and 2010.  There are still more than a dozen additional prospects identified in the three Blocks as potential exploration targets.

Management also understands that analyzing drilling results and incorporating them into the relevant geologic and fluid models takes time. Further, moving from field appraisal and development to production takes even more time.  As has been the practice in the JDZ, accurate material information on the progress in the JDZ Blocks will emanate from the operators or the JDA.  ERHC will publish such information in a timely manner in accordance with ERHC’s contractual and regulatory obligations.

Status of ERHC’s Blocks 2, 3 and 4 at March 31, 2013

The Company awaits a final decision between the remaining parties to the PSC and the Joint Development Authority on how exploration in Blocks 2, 3 and 4 will proceed and the Company expects that decision could be made public at any time. The three potential courses of action are entry into Phase 2 of the exploration program, further extension of Phase 1 or a withdrawal by some or all of the remaining parties from the PSC and relinquishment of the acreage. The Company intends to remain in the three Blocks and to retain its other interests in the JDZ.

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SAO TOME AND PRINCIPE EXCLUSIVE ECONOMIC ZONE (“EEZ”)

Background of the EEZ

An exclusive economic zone is an area beyond and adjacent to the territorial waters of a coastal nation which is subject to specific legal regimes established by international law.  In an exclusive economic zone, the coastal nation has sovereign rights established by international law to explore and exploit the natural resources in the zone.  The STP EEZ delineates an expanse of waters offshore Săo Tomé and Principe covering approximately 160,000 square km.  The EEZ is measured from claimed archipelagic baselines.  The territorial waters of STP extend to 12 nautical miles from the coast while the exclusive economic zone extends from the edge of the territorial waters to 200 nautical miles from the coast.  The STP EEZ is the largest such zone in the Gulf of Guinea. Oceanic water depths around the two islands exceed 1,524 meters, depths that have only become feasible for oil production in the past few years; however, oil and gas are produced in the neighboring countries of Nigeria, Equatorial Guinea, Gabon and Congo.

ERHC’s Rights and in the EEZ

Under an agreement with the government Sao Tome and Principe (“STP”) prior to the 2003 Option Agreement, ERHC was vested with the rights to participate in exploration and production activities in the EEZ.  These rights included (a) the right to receive up to 100% of two blocks of ERHC’s choice and (b) the option to acquire up to a 15% paid working interest in each of two additional blocks of ERHC’s choice in the EEZ.  In 2010, ERHC exercised its rights to receive up to 100% of two blocks of ERHC’s choice in the EEZ and was duly awarded Blocks 4 and 11 of the EEZ by the Government of STP.  ERHC will decide whether to take up the option to acquire up to a 15% paid working interest in each of two additional blocks of the EEZ when called upon to exercise the option by the Government of STP in accordance with the agreements which provide for the rights and option.

PSC Negotiations for the EEZ

A PSC is an agreement that governs the relationship between the Company (and its joint venture partners) and the Government of Săo Tomé and Príncipe in respect of exploration and production in any Block awarded to the Company.  The PSC spells out, among other things, the work commitments (including acquisition of data, drilling of wells, social projects, etc.), the time frames for accomplishing the work commitments, how production will be shared between the parties and the government, and how the costs of exploration, development and production will be recovered.

Negotiations for a PSC between ERHC and the National Petroleum Agency of Săo Tomé and Príncipe (ANP-STP) opened on November 14, 2011 in Sao Tome and are continuing.  Good progress has been made in the first three rounds of negotiations but the Company expects that it will take several more rounds to conclude the negotiations.  The PSCs pertain to ERHC’s 100 percent working interest in Blocks 4 and 11 of the Săo Tomé and Príncipe Exclusive Economic Zone (“EEZ”). ERHC’s management is looking to negotiate PSCs for the EEZ Blocks that will be attractive to potential joint venture partners.  Discussions are continuing simultaneously with prospective operating partners for ERHC’s EEZ Blocks.

Overview of ERHC’s EEZ Blocks

The Săo Tomé and Príncipe EEZ is a frontier exploration region that sits south of the Niger Delta and west of the Gabon salt basin, retaining similarities with each of those prolific hydrocarbon regions.  The regional seismic database comprises approximately 12,000 kilometers of seismic data. Interpretation of that seismic data shows numerous structures that have similar characteristics to known hydrocarbon accumulations in the area.

EEZ Block 4 is 5,808 square kilometers, situated directly east of the island of Príncipe.  The northeastern area near EEZ Block 4 contains a large graben structure, which is bound by the Kribi Fracture Zone.

EEZ Block 11 totals 8,941 square kilometers, situated directly east of the island of Săo Tomé and abuts the territorial waters of Gabon. The southern area of the EEZ, where EEZ Block 11 is situated, contains parts of the Ascension and Fang Fracture Zones.

Status of ERHC’s EEZ Blocks at March 31, 2013

PSC negotiations between the national petroleum agency of Săo Tomé and Príncipe (ANP-STP) have reached an advanced stage in respect of Block 4 of the EEZ.  ERHC is also seeking to actuate negotiations in respect of Block 11 of the EEZ.

23

INVESTMENT IN OANDO ENERGY RESOURCES (FORMERLY EXILE RESOURCES)

During the three months ended June 30, 2011, ERHC invested $1,350,000 in the stock of Exile Resources Inc, a company listed on the Toronto Stock Exchange’s Ventures Exchange (TSX-V:ERI), in open market purchases.  ERHC’s intention was to gain an indirect interest in Exile’s underlying oil and gas exploration and production assets as well as the ability to participate in Exile’s decision making in respect of those assets.  ERHC was particularly interested in Exile’s carried interest in the Akepo field in the Niger Delta.

The Akepo field is located in the shallow waters of the southeastern area of Nigeria in OML 90.  Exile Resources had 10 percent equity and up to a 17.5% economic interest in the field, with a subsidiary of Oando Plc (“Oando Petroleum”) carrying its costs.  From July 2011, Exile Resources commenced a reorganization exercise under agreement with Oando Plc (“Oando”) whereby a reverse takeover (“RTO”) of Exile Resources by Oando occurred.  In July 2012, Exile announced the completion of the RTO by Oando and the change of name of the company to Oando Energy Resources Inc, (“OER”). It also announced the approval by the Toronto Stock Exchange (TSX) of the listing of the company’s shares under the symbol “OER” on the TSX and commencement of trading in the shares on the TSX from July 30, 2012.

The approved terms of reorganization on the RTO were that each Exile shareholder received one share OER for every 16.28 shares held in Exile upon the RTO. Each Exile shareholder also received two shares purchase warrants for 16.28 shares held in Exile.  The first share purchase warrant entitled the purchase of one OER share at Cdn$1.5 within 12 months and the other entitled the purchase of one OER share at Cdn$2.00 within 24 months.

As a result of the RTO, ERHC now holds 418,889 shares in the common stock of Oando Energy Resources.  ERHC also holds warrants for 418,889 common shares exercisable within 12 months of closing of the RTO at Cdn$1.50 per share and for another 418,889 common shares exercisable within 24 months of the closing of the RTO at Cdn$2.00 per share.

ACQUISITION OF OTHER OIL AND GAS EXPLORATION AND PRODUCTION ASSETS

Although ERHC is making considerable progress toward realizing the value of the Company’s oil and gas assets in Kenya, Chad, the JDZ, and the EEZ, it may be some time before any of these oil and gas assets begin to produce revenues.  ERHC, therefore, seeks to identify and acquire assets with a shorter time horizon for revenue generation.

ERHC is continuously examining potential acquisitions and engaging in discussions on a number of potential exploration and production opportunities in Africa.  Ultimately, ERHC seeks a portfolio of assets and companies from which it can derive significant strategic value. Securing such potential acquisitions will of course depend on the availability of adequate financing.

CURRENT PLANS FOR OPERATIONS

ERHC’s principal assets are its interests in Kenya, Chad, the JDZ and the EEZ. ERHC has no current sources of income from its operations.  In addition to the existing Participation Agreements in JDZ Blocks 2, 3 and 4, the Company hopes to enter into Participation Agreements in some or all of its other Blocks, but the timing or likelihood of such transactions cannot be predicted.  The Company believes that the Participation Agreements that it has entered into will be its primary source of future cash flow; however, the Company is exploring plans to generate operating income from new sources.  The Company plans to diversify its business activity by pursuing other growth opportunities which may include acquisition of revenue-producing assets in diverse geographical areas and forging strategic, new, business partnerships and alliances.  To expand operations, ERHC is currently in negotiations for potential investments that would increase the Company’s presence in the African oil and gas industry and elsewhere.  ERHC cannot currently predict the outcome of negotiations for acquisitions in Africa, or, if successful, their impact on the Company's operations.

 PLANS FOR FUNDING OF POTENTIAL ACQUISITIONS

ERHC's future plans may be dependent on the Company's ability to attract new funding.  The company is planning to raise up to $48 million over the next 18 months to fund exploration programs in Kenya and Chad.  Fund raising activities, in addition to the recently concluded rights offering, might include:

· Issue shares of common stock through a registered direct offering

· Convertible Loans and other debt instruments

· Farm-outs of part of the Company’s assets in Kenya, Chad and the São Tomé and Príncipe Exclusive Economic Zone (EEZ)

· Other available financing options

24

Rights Offerings

On December 27, 2012 the Company filed a prospectus supplement with the Securities and Exchange Commission in respect of the rights offering, ERHC distributed on a pro rata basis to the holders of its common stock one non-transferable subscription right for every three shares of common stock owned as of the close of business on the previously announced December 17, 2012 record date.

Each subscription right (with the total number of subscription rights issuable to a holder rounded down to avoid the issuance of fractional rights) entitles its holder to purchase one share of the Company’s common stock at a subscription price equal to $0.075 per share. In addition, holders of subscription rights who fully exercise all of their subscription rights may also request to purchase additional shares of the Company’s common stock that remain unsubscribed at the expiration of the rights offering, subject to the availability and pro rata allocation of shares among rights holders exercising such over-subscription right.

The Company offered 246,486,285 shares of its common stock in the rights offering, representing approximately 33 percent of its outstanding shares of common stock. The rights offering was initially supposed to terminated on January 31, 2013 but was extended to February 28, 2013 and then to March 15, 2013. The Rights Offering resulted in net proceeds to the Company of $1,540,178 from the exercise of approximately 22,000,000 subscription rights (including certain oversubscription privileges).

The Company plans to apply capital raised in the rights offering to fund specific exploration and development activities pursuant to work programs governing its exploration acreage in the Republics of Chad and Kenya, as well as for general corporate purposes and working capital needs.

CRITICAL ACCOUNTING POLICIES AND ESTIMATES

The process of preparing financial statements requires that the Company make estimates and assumptions that affect the reported amounts of liabilities and stockholders’ equity at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Such estimates primarily relate to realization of oil and gas concession assets and the valuation allowance related to deferred tax assets as of the date of the financial statements; accordingly, actual results may differ from estimated amounts. ERHC’s estimates and assumptions are based on current facts, historical experience and various other factors we believe to be reasonable under the circumstances. The most significant estimates with regard to the financial statements included with this report relate to realization of oil and gas concession assets and the valuation allowance related to deferred tax assets.

These estimates and assumptions are reviewed periodically and, as adjustments become necessary, they are reported in earnings in the periods in which they become known.

RECENT ACCOUNTING PRONOUNCEMENTS

In preparing its financial statements and filings, the company considers recent guidance issued related to accounting principles generally accepted in the United States. The Company believes that there has been no new guidance since its most recent annual report on Form 10-K that have a significant impact on its financial statements.

RESULTS OF OPERATIONS

Three Months Ended March 31, 2013 Compared with the Three Months Ended March 31, 2012

General and administrative expenses decreased from $1,173,139 in the three months ended March 31, 2012 to $839,723 in the three months ended March 31, 2013.  Both periods reflect a normal level of expenses with decreased consulting expense in 2013.

During the three months ended March 31, 2013, the Company had a net loss of $878,481 compared with a net loss of $1,173,625 for the three months ended March 31, 2012.

Six Months Ended March 31, 2013 Compared with the Six Months Ended March 31, 2012

General and administrative expenses decreased from $2,213,238 in the six months ended March 31, 2012 to $1,857,313 in the six months ended March 31, 2013.  The decrease is due to ongoing efforts to cut general and administrative expenses.

During the six months ended March 31, 2013, the Company had a net loss of $1,920,669 compared with a net loss of $2,216,099 for the six months ended March 31, 2012.

25

 LIQUIDITY AND CAPITAL RESOURCES

As of March 31, 2013, the Company had $4,412,522 in cash, cash equivalents and positive working capital of $2,329,173.  Management believes that this cash position should be sufficient to support the Company’s working capital requirements for more than 12 months. The Company also had $1,645,468 in restricted cash, the resulting proceeds from the right offering. The restricted cash may be applied to the Company’s exploration work programs as well as general purposes and working capital needs and has been included in the calculation of the working capital amount above.

OFF-BALANCE SHEET ARRANGEMENTS

At March 31, 2013, the Company had no off-balance sheet arrangements.

DEBT FINANCING ARRANGEMENTS

At March 31, 2013, the Company had a total of $4,577,079 in short term obligations, including a $4,000,000 signing bonus due under agreement with the government of Chad, $108,850 in accrued executive unused vacation, $100,500 in accrued  executive bonuses related to acquisition of Chadian Blocks, payment is deferred until the Blocks are monetized, $27,702 in accrued salaries, $49,843 in accrued compensation owed to directors for serving on the ERHC board, and $248,743 of accounts payable.

Item 3. Quantitative and Qualitative Disclosures about Market Risk

The Company’s current focus is to exploit its primary assets, which are rights to working interests oil and gas exploration blocks in Kenya, Chad, the JDZ and EEZ under agreements with the  governments of Kenya, Chad, the JDA and the government of STP respectively.  The Company intends to continue to form relationships with other oil and gas companies with operational, technical and financial capabilities, to partner with the Company in leveraging its interests.  The Company currently has no other operations.

As of March 31, 2013, all the Company’s exploration and production acreages were located outside the United States.  The Company’s primary assets are agreements with Kenya, Chad, STP and the JDA which provide ERHC with rights to participate in exploration and production activities in Kenya, Chad, the EEZ and the JDZ in Africa.  This geographic area of interest is controlled by foreign governments that have historically experienced volatility of which is out of management’s control. The Company’s operations and its ability to exploit its interests in the agreements in this area may be impacted by this circumstance.

The future success of the Company’s international operations may also be adversely affected by risks associated with international activities that include financial, economic and labor conditions, political instability, risk of war, expropriation, renegotiation or modification of existing contracts, tax laws (including host-country import-export, excise and income taxes and United States taxes on foreign subsidiaries) and changes in the value of the U.S. dollar relative to the local currencies in which future oil and gas producing activities may be denominated.  Furthermore, changes in exchange rates may adversely affect the Company’s future results of operations and financial condition.

Market risks relating to the Company’s operations result primarily from changes in interest rates as well as credit risk concentrations.  The Company’s interest expense is generally not sensitive to changes in the general level of interest rates in the United States, particularly because a substantial majority of its indebtedness is at fixed rates.

The Company holds no derivative financial or commodity instruments.

Item 4. Controls and Procedures

The Company’s  Chief Executive Officer and Principal Accounting Officer participated in an evaluation by management regarding the effectiveness of the Company’s disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) as of March 31, 2013.  Based on their participation in that evaluation, the Company’s Chief Executive Officer and Principal Accounting Officer concluded that as of March 31, 2013, our disclosure controls and procedures are effective and ensure that the information required to be disclosed in the reports that ERHC files or submits under the Exchange Act, is accumulated and communicated to our management; including our principal executive and principal financial officers, to allow timely decisions regarding required disclosure under the Exchange Act. ERHC officers also concluded on March 31, 2013 that our disclosure controls and procedures are effective in ensuring that information required to be disclosed in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC rules and forms.

There was no change in the Company’s internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) that occurred during the fiscal quarter ended March 31, 2013 that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

26

PART II. OTHER INFORMATION

Item 1. Legal Proceedings

LEGAL PROCEEDINGS

JDZ BLOCKS 5 AND 6

Arbitration and Lawsuit

The Company’s rights in JDZ Blocks 5 and 6 are currently the subject of legal proceedings at the London Court of International Arbitration and the Federal High Court in Abuja, Nigeria.  The Company instituted both proceedings in November 2008 against the JDA and the Governments of Nigeria and Săo Tomé and Príncipe.  The Company seeks legal clarification that its rights in the two Blocks remain intact.

The issue in contention is entirely contractual. The Company was awarded a 15 percent working interest in each of the Blocks in a 2004/5 bid/licensing round conducted by the JDA following the Company’s exercise of preferential rights in the Blocks as guaranteed by contract and treaty.  The JDA and the Government of STP contend that certain correspondence issued by a previous CEO/President of the Company in 2006 amount to a relinquishment of the Company’s rights in Blocks 5 and 6 under the Company’s contracts with STP which provide for the rights.  The Company contends that no such relinquishment has occurred and has sought recourse to arbitration accordingly. It also filed the suit to prevent any tampering with its said rights in JDZ Blocks 5 and 6 pending the outcome of arbitration.

Suspension of Proceedings on the Arbitration and Lawsuit

Proceedings on the suit and the arbitration are currently suspended while the Company pursues amicable settlement with the Governments of Nigeria and Săo Tomé & Príncipe.

ROUTINE CLAIMS AND OTHER MATTERS

From time to time, ERHC may be subject to routine litigation, claims, or disputes in the ordinary course of business.  ERHC intends to defend these matters vigorously.  The Company cannot predict with certainty, however, the outcome or effect of any of the arbitration or litigation specifically described above or any other pending litigation or claims.

27

Item 1A. Risk Factors

Our operation and financial results are subject to various risks and uncertainties that could affect our business, financial condition, results of operations, and trading price of our common stock, including but not limited to, failing financial institutions.  Please refer to our annual report on Form 10-K for fiscal year 2012 for additional information concerning these and other uncertainties that could negatively impact the Company.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None

Item 3. Defaults Upon Senior Securities

None.

Item 4. Submission of Matters to A Vote of Security Holders

None.

Item 5. Other Information

None

28

Item 6. Exhibits

	Signatures
31.1*	Rule 13a-14(a) Certification of the Chief Executive Officer
31.2*	Rule 13a-14(a) Certification of the Principal Accounting Officer
32.1*	Certification Pursuant to 18 U.S.C. Section 1350, as adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, of the Chief Executive Officer
32.2*	Certification Pursuant to 18 U.S.C. Section 1350, as adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, of the Principal Accounting Officer
101.INS*	Instance Document
101.SCH*	XBRL Taxonomy Extension Schema Document
101.CAL*	XBRL Taxonomy Extension Calculation Linkbase Document
101.LAB*	XBRL Taxonomy Extension Label Linkbase Document
101.PRE*	XBRL Taxonomy Extension Presentation Linkbase Document
	* Filed or furnished herewith.

29

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

ERHC Energy Inc.

Name	Title	Date
/s/ Peter Ntephe	President	May 14, 2013
Peter Ntephe	Chief Executive Officer
/s/ Sylvan Odobulu	Vice President (Admin) and Controller	May 14, 2013
Sylvan Odobulu	Principal Accounting Officer

30

EX-31.1

Exhibit 31.1

CERTIFICATIONS

I, Peter Ntephe, certify that:

1. I have reviewed this quarterly report on Form 10-Q of ERHC Energy, Inc.

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and,

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting;

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and,

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

May 14, 2013

/s/ Peter Ntephe

Peter Ntephe

Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATIONS

I, Sylvan Odobulu, certify that:

1. I have reviewed this quarterly report on Form 10-Q of ERHC Energy, Inc.

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation;

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting;

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and,

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

May 14, 2013

/s/ Sylvan Odobulu

Sylvan Odobulu

Vice President (Admin.) and Controller

Principal Accounting Officer

EX-32.1

Exhibit 32-1

CERTIFICATION PURSUANT TO SECTION906 OF THE SARBANES-OXLEY ACT OF 2002 (18 U.S.C. SECTION1350)

In connection with the accompanying Quarterly Report of ERHC Energy Inc. (the “Company”) on Form10-Q for the period ended March 31, 2013 (as filed with the U.S. Securities and Exchange Commission on the date hereof,  the “Report”), I, Peter Ntephe,  Chief Executive Officer, hereby certify that to my knowledge:

(1) The Report fully complies with the requirements of Section13 (a) or 15(d) of the Securities Exchange Act of 1934, as amended; and,

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Peter Ntephe	May 14, 2013
Peter Ntephe
Chief Executive Officer

EX-32.2

Exhibit 32-2

CERTIFICATION PURSUANT TO SECTION906 OF THE SARBANES-OXLEY ACT OF 2002 (18 U.S.C. SECTION1350)

In connection with the accompanying Quarterly Report of ERHC Energy Inc. (the “Company”) on Form10-Q for the period ended March 31, 2013 (as filed with the U.S. Securities and Exchange Commission on the date hereof, the “Report”), I, Sylvan Odobulu, Principal Accounting Officer of the Company, hereby certify that to my knowledge:

(1) The Report fully complies with the requirements of Section13 (a) or 15(d) of the Securities Exchange Act of 1934, as amended; and,

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Sylvan Odobulu	May 14, 2013
Sylvan Odobulu
Principal Accounting Officer

XML

OIL AND GAS CONCESSIONS

6 Months Ended

Mar. 31, 2013

OIL AND GAS CONCESSIONS [Abstract]

OIL AND GAS CONCESSIONS

NOTE 3 – OIL AND GAS CONCESSIONS

The following is an analysis of the cost of oil and gas concessions at March 31, 2013 and September 30, 2012:

	March 31,		September 30,
	2013		2012
DRSTP concession		2,839,500		2,839,500
Chad concession		6,800,600		6,800,600
Kenya concession		326,073		326,073
Pending concessions in other African countries		88,730		80,130
	$	10,054,903	$	10,046,303

XML

FAIR VALUE OF FINANCIAL INSTRUMENTS

6 Months Ended

Mar. 31, 2013

FAIR VALUE OF FINANCIAL INSTRUMENTS [Abstract]

FAIR VALUE OF FINANCIAL INSTRUMENTS

NOTE 2 – FAIR VALUE OF FINANCIAL INSTRUMENTS

The Company adopted new guidance as of October 1, 2008, related to the measurement of the fair value of certain of its financial assets required to be measured on a recurring basis. Under the new guidance, based on the observability of the inputs used in the valuation techniques, the Company is required to provide the following information according to the fair value hierarchy.  The fair value hierarchy ranks the quality and reliability of the information used to determine fair values.  Financial assets and liabilities carried at fair value will be classified and disclosed in one of the following three categories:

● Level 1 — Quoted prices in active markets for identical assets or liabilities.

● Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or, other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

● Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Interest income on cash and cash equivalents is recognized as earned on the accrual basis.

Investments are reported at fair value, determined based on the quoted prices in an active market for identical assets and classified as Level 1 under the ASC 820.

During the six months ended March 31, 2013, the Company's investment in the common stock and warrants of OER, a Canadian oil and gas company that trades on the Toronto Stock Exchange (TSX) increased in value by $29,280. This increase in value is included as an increase in stockholders' equity in accumulated other comprehensive income.

XML

UNAUDITED CONSOLIDATED BALANCE SHEETS (USD $)	Mar. 31, 2013	Sep. 30, 2012
Current assets:
Cash and cash equivalents	$ 4,412,522	$ 7,665,990
Restricted cash	1,645,468	0
Investment in Oando Energy Resources	570,192	540,912
Prepaid expenses and other	278,070	320,725
Total current assets	6,906,252	8,527,627
Oil and gas concession fees	10,054,903	10,046,303
Furniture and equipment, net of accumulated depreciation of $239,443 and $175,195 at March 31, 2013 and September 30, 2012, respectively	286,399	47,783
Income tax receivable	2,018,533	2,018,398
Total assets	19,266,087	20,640,111
Current liabilities:
Accounts payable and accrued liabilities	577,079	610,790
Signing bonus payable - Chad	4,000,000	5,000,000
Total current liabilities	4,577,079	5,610,790
Commitments and contingencies
Shareholders' equity:
Preferred stock, par value $0.0001; authorized 10,000,000 shares; none issued and outstanding	0	0
Common stock, par value $0.0001; authorized 950,000,000 shares; issued and outstanding 764,426,260 and 739,458,854 shares at March 31, 2013 and September 30, 2012 respectively	76,443	73,947
Additional paid-in capital	101,135,797	99,479,431
Accumulated other comprehensive loss	(779,807)	(809,087)
Losses accumulated in the development stage	(85,740,929)	(83,714,970)
Total shareholders' equity	14,689,008	15,029,321
Total liabilities and shareholders' equity	$ 19,266,087	$ 20,640,111

XML

UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	6 Months Ended		211 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013
Cash Flows From Operating Activities:
Net loss	$ (1,920,669)	$ (2,216,099)	$ (85,635,639)
Adjustments to reconcile net loss to net cash Used in operating activities:
Depreciation and depletion expense	64,248	7,280	1,587,755
Provision for loss on deposits	0	0	5,292,896
Write-offs and abandonments	0	0	7,742,128
Deferred income taxes	0	0	(2,018,398)
Compensatory stock options	10,898	2,179	1,332,132
Gain from settlement	0	0	(617,310)
Gain on sale of partial interest in DRSTP concession	0	0	(30,102,250)
Amortization of beneficial conversion feature associated with convertible debt	0	0	2,793,929
Amortization of deferred compensation	0	0	1,257,863
Loss on extinguishment of debt	0	0	5,669,500
Stock issued for services	0	0	20,897,077
Stock issued for settlements	0	0	225,989
Stock issued for officer bonuses	0	28,342	5,221,638
Stock issued for interest and penalties on convertible debt	0	0	10,631,768
Stock issued for board compensation	0	0	2,725,949
Changes in operating assets and liabilities:
Prepaid expenses and other current assets	(88,481)	(30,739)	(409,204)
Accounts payable and other accrued Liabilities	(33,711)	(19,758)	(2,570,897)
Accounts payable and accrued liabilities, related party	0	0	55,844
Accrued retirement obligation	0	0	365,000
Net cash used in operating activities	(1,967,715)	(2,228,795)	(55,543,332)
Cash Flows From Investing Activities:
Purchase of long-term investment	0	0	(5,292,896)
Purchase of and deposits on oil and gas concessions	(1,008,600)	(50,599)	(8,789,403)
Proceeds from sale of partial interest in DRSTP concession	0	0	45,900,000
Proceeds from sale of U.S. Treasury bills	0	0	5,011,000
Purchase of U.S. Treasury bills and accrued interest	0	(3,285)	(5,011,000)
Purchase of investment in marketable equity securities	0	0	(1,350,000)
Restricted cash	(1,645,468)	0	(1,645,468)
Purchase of restricted certificate of deposit	0	0	(131,000)
Proceeds from sale of restricted certificate of deposit	0	131,000	131,000
Purchase of furniture and equipment	(171,863)	(2,600)	(1,169,930)
Net cash provided by (used in) investing activities	(2,825,931)	74,516	27,652,303
Cash Flows From Financing Activities:
Proceeds from warrants exercised	0	0	160,000
Proceeds from common stock, net of expenses	1,540,178	0	10,316,727
Proceeds from line of credit, related party	0	0	2,750,000
Proceeds from non-convertible debt, related party	0	0	158,700
Proceeds from convertible debt, related party	0	0	8,207,706
Proceeds from sale of convertible debt	0	0	9,019,937
Proceeds from bank borrowing	0	0	175,000
Proceeds from stockholder loans	0	0	1,845,809
Proceeds from stock subscription receivable	0	0	913,300
Repayment of shareholder loans	0	0	(1,020,607)
Repayment of long-term debt	0	0	(223,021)
Net cash provided by financing activities	1,540,178	0	32,303,551
Net increase (decrease) in cash and cash equivalents	(3,253,468)	(2,154,279)	4,412,522
Cash and cash equivalents, beginning of period	7,665,990	7,137,151	0
Cash and cash equivalents, end of period	4,412,522	4,982,872	4,412,522
Cash and cash equivalents, end of period	4,412,522		4,412,522
Supplemental cash flow information - Noncash investing activities [Abstract]
Unrealized gain (losses) on securities	29,280		779,807
Reclass of prepaid expenses to furniture and equipment	$ 131,000		$ 131,000

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BASIS OF PRESENTATION AND BUSINESS ORGANIZATION

6 Months Ended

Mar. 31, 2013

BASIS OF PRESENTATION AND BUSINESS ORGANIZATION [Abstract]

BASIS OF PRESENTATION AND BUSINESS ORGANIZATION

NOTE 1 – BASIS OF PRESENTATION AND BUSINESS ORGANIZATION

The consolidated financial statements included herein, which have not been audited pursuant to the rules and regulations of the Securities and Exchange Commission, reflect all adjustments which, in the opinion of management, are necessary to present a fair statement of the results for the interim periods on a basis consistent with the annual audited financial statements.  All such adjustments are of a normal recurring nature.  The results of operations for the interim periods are not necessarily indicative of the results to be expected for an entire year.  Certain information, accounting policies and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America, have been omitted pursuant to such rules and regulations, although ERHC Energy Inc. ("ERHC" or the "Company") believes that the disclosures are adequate to make the information presented not misleading. These financial statements should be read in conjunction with the Company's audited financial statements included in the Company's Annual Report on Form 10-K for the fiscal year ended September 30, 2012.

Restricted cash

Restricted cash represent proceeds received from the Rights Offering which were held in escrow as of March 31, 2013.  The amount was made available for use by the Company in its operations in April 2013.

Recent accounting pronouncements

There have been no recently issued accounting pronouncements that have had or are expected to have a material impact on the Company's consolidated financial statements.

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UNAUDITED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Mar. 31, 2013	Sep. 30, 2012
ASSETS
Furniture and equipment, accumulated depreciation	$ 239,443	$ 175,195
Shareholder's equity:
Preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, authorized (in shares)	950,000,000	950,000,000
Common stock, issued (in shares)	739,458,854	739,458,854
Common stock, outstanding (in shares)	764,429,260	739,458,854

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Document and Entity Information	6 Months Ended
	Mar. 31, 2013	Apr. 30, 2013
Document and Entity Information [Abstract]
Entity Registrant Name	ERHC Energy Inc
Entity Central Index Key	0000799235
Current Fiscal Year End Date	--09-30
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		764,429,260
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q2
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2013

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UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)	3 Months Ended		6 Months Ended		211 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013
Costs and expenses:
General and administrative	$ 839,723	$ 1,173,139	$ 1,857,313	$ 2,213,238	$ 88,271,340
Depreciation	39,213	3,436	64,248	7,280	1,587,755
Gain on sale of partial Interest in DRSTP concession	0	0	0	0	(30,102,250)
Write-offs and abandonments	0	0	0	0	7,742,128
Total costs and expenses	(878,226)	(1,176,575)	(1,921,561)	(2,220,518)	(67,498,973)
Other income and (expenses):
Interest income	463	2,950	898	4,419	4,851,502
Gain from settlements	0	0	0	0	130,178
Other income	0	0	0	0	439,827
Interest expense	(6)	0	(6)	0	(12,145,342)
Provision for loss on deposits	0	0	0	0	(5,292,896)
Loss on extinguishment of debt	0	0	0	0	(5,749,575)
Total other income and (expense)	457	2,950	892	4,419	(17,766,306)
Loss before benefit (provision) for income taxes	(878,481)	(1,173,625)	(1,920,669)	(2,216,099)	(85,265,279)
Benefit (provision) for income taxes:
Current	0	0	0	0	(1,330,360)
Deferred	0	0	0	0	960,000
Total benefit (provision) for income taxes	0	0	0	0	(370,360)
Net loss	$ (878,481)	$ (1,173,625)	$ (1,920,669)	$ (2,216,099)	$ (85,635,639)
Net loss per common share - basic and diluted (in dollars per share)	$ 0.00	$ 0.00	$ 0.00	$ 0.00
Weighted average number of common shares outstanding basic and diluted (in shares)	739,458,854	738,933,854	739,458,854	738,933,854

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OIL AND GAS CONCESSIONS (Tables)

6 Months Ended

Mar. 31, 2013

OIL AND GAS CONCESSIONS [Abstract]

Analysis of Cost of Oil and Gas Concessions

The following is an analysis of the cost of oil and gas concessions at March 31, 2013 and September 30, 2012:

	March 31,		September 30,
	2013		2012
DRSTP concession		2,839,500		2,839,500
Chad concession		6,800,600		6,800,600
Kenya concession		326,073		326,073
Pending concessions in other African countries		88,730		80,130
	$	10,054,903	$	10,046,303

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COMMITMENTS AND CONTINGENCIES

6 Months Ended

Mar. 31, 2013

COMMITMENTS AND CONTINGENCIES [Abstract]

COMMITMENTS AND CONTINGENCIES

NOTE 5 – COMMITMENTS AND CONTINGENCIES

COMMITMENTS UNDER PRODUCTION SHARE CONTRACTS

Republic of Kenya Concession Fees and Other Financial Commitments

On June 28, 2012, ERHC entered into a production sharing contract ("PSC") with the Government of the Republic of Kenya for hydrocarbon exploration and production of Block 11A located in northwestern Kenya.

As of March 31, 2012, ERHC paid in full the requisite signature bonus of $310,000.  ERHC is committed under terms of the PSC to spend at least $10,250,000 over the first two years on a minimum work program and an additional $30,000,000 in each of the following two periods of two years each.

Additionally, under the terms of the PSC, during the initial exploration term of two years that started in the first quarter of 2013, ERHC will pay surface fees of $54,000 per year and annual training fees of $175,000 per year.  During the quarter, ERHC paid these fees for the 2013 to the government of Kenya.

Republic of Chad Concession Fees and Other Financial Commitments

On June 30, 2011, ERHC entered into a production sharing contract ("PSC") with Chad for onshore hydrocarbon exploration and development in three blocks. Under terms of the PSC as sealed by the Approval Law issued subsequently, a total signature bonus of $6,000,000 is payable by ERHC.  The PSC requires that the signature bonus be paid as follows:  $1,000,000 upon transmittal of an Approval Law by Chad to ERHC, $4,000,000 is due within 90 days of the later of (a) a publication of the Approval Law in Chad's official gazette and (b) a notification of ERHC of the Award Order, and $1,000,000 is due 120 days after the date of transmittal of the Approval Law to ERHC.

As of March 31, 2013, ERHC has paid or incurred:

a.	$2,000,000 out of the signature bonus commitment with the balance of $4,000,000 in accrual
b.	$480,000 as legal fees and costs for the drafting and negotiation of the PSC, as provided for in the PSC

c. $312,600 in advisers' and ancillary costs related to the PSC

ERHC is also committed under the PSC to:

a. Spend at least $15,000,000 over the first five years on a minimum work program and at least an additional $1,000,000 over a further period of up to three years.

b. Pay surface fees of $27,000 per calendar year during the first validity period, and lasting for up to eight years.  Surface fees for subsequent periods will depend on the exploration progress as well as on the acreage retained by ERHC.

As of March 31, 2013, particular milestones are outstanding including certain financial obligations as provided in the PSC, as indicated above. Management is currently pursuing the formal extension of timelines for the commencement of the work program and meeting of pecuniary obligations under the PSC with the Government of Chad.  The formal timeline extensions will enable the conclusion of administrative and other obligations on both sides (including the setting up of a management committee for the exploration) that are a pre-requisite to the effective execution of ERHC's PSC commitments.

LEGAL PROCEEDINGS

JDZ BLOCKS 5 AND 6

Arbitration and Lawsuit

The Company's rights in JDZ Blocks 5 and 6 are currently the subject of legal proceedings at the London Court of International Arbitration and the Federal High Court in Abuja, Nigeria.  The Company instituted both proceedings in November 2008 against the JDA and the Governments of Nigeria and Săo Tomé and Príncipe.  The Company seeks legal clarification that its rights in the Blocks remain intact.

The issue in contention is entirely contractual. The Company was awarded a 15 percent working interest in each of the Blocks in a 2004/5 bid/licensing round conducted by the JDA following the Company's exercise of preferential rights in the Blocks as guaranteed by contract and treaty.  The JDA and the Government of STP contend that certain correspondence issued by a previous CEO/President of the Company in 2006 amount to a relinquishment of the Company's rights in Blocks 5 and 6 under the Company's contracts with STP which provide for the rights.  The Company contends that no such relinquishment has occurred and has sought recourse to arbitration accordingly. It also filed the suit to prevent any tampering with its said rights in JDZ Blocks 5 and 6 pending the outcome of arbitration.

Suspension of Proceedings on the Arbitration and Lawsuit

Proceedings on the suit and the arbitration are currently suspended while the Company pursues amicable settlement with the Governments of Nigeria and Săo Tomé & Príncipe. As of March 31, 2013, the suit and arbitration remained suspended while the Company continued to pursue settlement.

Routine Claims

From time to time, ERHC may be subject to routine litigation, claims, or disputes in the ordinary course of business.  ERHC intends to defend these matters vigorously.  The Company cannot predict with certainty, however, the outcome or effect of any of the arbitration or litigation specifically described above or any other pending litigation or claims.

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STOCKHOLDERS' EQUITY (Details) (USD $)	6 Months Ended			211 Months Ended
	Jun. 30, 2013	Mar. 31, 2013 Right	Mar. 31, 2012	Mar. 31, 2013
STOCKHOLDERS' EQUITY [Abstract]
Share-based compensation expense	$ 10,898
Shares granted (in shares)		4,150,000
Shares forfeited (in shares)	600,000
Weighted average remaining contractual term		9 months
Intrinsic value		0		0
Unamortized compensation cost		20,874		20,874
Unamortized compensation cost, period of recognition		9 months
Rights Offering [Abstract]
Subscription price of rights (in dollars per share)		$ 0.075		$ 0.075
Number of shares offered (in shares)		246,486,285		246,486,285
Percentage of shares offered (in hundredths)		33.00%
Number of subscription rights given to shareholders		1
Number of shares held on record date for shareholders who qualify for rights (in shares)		3
Proceeds from warrants exercised		1,540,178	0	10,316,727
Number of subscription rights exercise (in shares)		22,000,000
Shares were issued from the Rights Offering (in shares)	24,970,406
Warrants [Member]
Stock Warrants [Line Items]
Granted (in shares)		0
Exercised (in shares)		0
Expired or cancelled (in shares)		0
Balance at end of period (in shares)		13,777,729		13,777,729
Weighted average exercise price (in dollars per share)		$ 0.32		$ 0.32
Remaining term of warrants		1 year 11 months 16 days
Warrants price intrinsic value		$ 0		$ 0

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FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) (USD $)	3 Months Ended		6 Months Ended		211 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013
FAIR VALUE OF FINANCIAL INSTRUMENTS [Abstract]
Increase in stockholders' equity in accumulated other comprehensive income.	$ (280,225)	$ 0	$ 29,280	$ 0	$ (779,807)

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OIL AND GAS CONCESSIONS (Details) (USD $)	Mar. 31, 2013	Sep. 30, 2012
Analysis of cost of oil and gas concessions [Abstract]
Oil and gas concessions	$ 10,054,903	$ 10,046,303
DRSTP Concession [Member]
Analysis of cost of oil and gas concessions [Abstract]
Oil and gas concessions	2,839,500	2,839,500
Chad Concession [Member]
Analysis of cost of oil and gas concessions [Abstract]
Oil and gas concessions	6,800,600	6,800,600
Kenya Concession [Member]
Analysis of cost of oil and gas concessions [Abstract]
Oil and gas concessions	326,073	326,073
Pending Concessions in Other African Countries [Member]
Analysis of cost of oil and gas concessions [Abstract]
Oil and gas concessions	$ 88,730	$ 80,130

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COMMITMENTS AND CONTINGENCIES (Details) (USD $)	6 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
JDZ 5 [Member]
Loss Contingencies [Line Items]
Working interest awarded in mining concessions (in hundredths)	15.00%
JDZ 6 [Member]
Loss Contingencies [Line Items]
Working interest awarded in mining concessions (in hundredths)	15.00%
Chad Concession [Member]
Loss Contingencies [Line Items]
Signature bonus commitment	$ 6,000,000
Number of blocks under production sharing contract	3
Signature bonus commitment paid or incurred	2,000,000
Legal fees	480,000
Professional fees	312,600
Accrued final installment of the signature bonus commitment	4,000,000
Future commitment to spend under minimum work program next five years minimum	15,000,000
Future commitment to spend under minimum work program additional three years minimum	1,000,000
Future commitment to incur surface fees per calendar year next eight years	27,000
Chad Concession [Member] | Transmittal of an Approval Law by Chad to ERHC [Member]
Loss Contingencies [Line Items]
Signature bonus commitment	1,000,000,000,000
Chad Concession [Member] | Transmittal of Approval Law by Chad to ERHC Due With in 90 Days [Member]
Loss Contingencies [Line Items]
Signature bonus commitment	4,000,000
Chad Concession [Member] | Transmittal of Approval Law by Chad to ERHC Due On 120 Days [Member]
Loss Contingencies [Line Items]
Signature bonus commitment	1,000,000
Kenya Concession [Member]
Loss Contingencies [Line Items]
Signature bonus commitment		310,000
Future minimum commitment to spend over first two years on minimum work program	10,250,000
Additional future minimum commitment to spend over two periods of two years each	30,000,000
Period for initial exploration term under production sharing contract	2 years
Future commitment to incur surface fees per calendar year next two years	54,000
Annual training fees	$ 175,000

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UNAUDITED CONSOLIDATED STATEMENTS OF OTHER COMPREHENSIVE LOSS (USD $)	3 Months Ended		6 Months Ended		211 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013
UNAUDITED CONSOLIDATED STATEMENTS OF OTHER COMPREHENSIVE LOSS [Abstract]
Net loss	$ (878,481)	$ (1,173,625)	$ (1,920,669)	$ (2,216,099)	$ (85,635,639)
Other comprehensive income (loss) on available for sale securities	(280,225)	0	29,280	0	(779,807)
Other comprehensive loss	$ (1,158,706)	$ (1,173,625)	$ (1,891,389)	$ (2,216,099)	$ (86,415,446)

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STOCKHOLDERS' EQUITY

6 Months Ended

Mar. 31, 2013

STOCKHOLDERS' EQUITY [Abstract]

STOCKHOLDERS' EQUITY

NOTE 4 - STOCKHOLDERS' EQUITY

During the six months ended March 30, 2013, the Company recognized compensation expense of $10,898 related to options granted to the Board of Directors and Officers in fiscal year 2012.  As of March 31, 2013, there are 4,150,000 options outstanding; none of which are exercisable.  600,000 options were forfeited during the period. These options have a weighted average remaining term of nine months and an intrinsic value of zero. Unamortized compensation cost related to these options amounted to $20,874 which is expected to be recognized over the remaining nine months vesting period.

During the six months ended March 31, 2013, there were no new warrants granted and none were exercised, cancelled or expired.  As of March 31, 2013, the Company has 13,777,729 outstanding and exercisable warrants with a weighted average exercise price and remaining term of $0.32 per share and 1.96 years, respectively.  As of March 31, 2013, these warrants have an intrinsic value of zero.

Rights Offering

On December 17, 2012 the Company implemented a rights offering under the terms of which each shareholder was entitled to non-transferable subscription rights to purchase shares of common stock at a subscription price of $0.075 per share. Under the rights offering, the Company offered up to 246,486,285 shares of its common stock (or roughly 33% of outstanding shares at the date of the offering).  On December 27, 2012 the Company issued one subscription right to current shareholders for every three shares of common stock held at the December 17, 2012 record date.  The Rights Offering was closed on March 15, 2013 and resulted to net proceeds to the Company of $1,540,178 from exercise of approximately 22,000,000 subscription rights (including certain oversubscription privileges). A total of 24,970,406 shares were issued from the Rights Offering.