At first sight, ERHE seems a half millon market cap company, with very interesting assets, worth multiples of current share price.
The problem is that company´s convertible debt, at current market prices, have the potential to increase the share count by around 6.000.000.000 shares (more than 6 times the current amount of shares outstanding).
According to last 10Q report, convertible debt at Dec 31, 2014 was roughly US$ 1.250.000 at face value (note 4 to financial statements).
ERHE issues additional convertible debt for US$ 250.000 at Feb this year, for a total balance oustanding of roughly US$ 1.500.000
This debt could be converted into common shares at a price reflecting a discount of 40% t0 60% of stock market price (note 5 to financial statements).
Assuming an average discount of 50%, the convertion of all debt oustanding will increase the total share count by 6.000.000.000 shares (US$ 1.500.000 / (0.0005/2).