I've been diagnosed with folloctilitus from my doctor a year ago when I became concerned w/ pimple like pustules surrounding the base of my penis. They were present for 2 months until the doctor advised me to purchase antibacterial soap and neosporin, I noticed results in matter of weeks, and they went away. I wouldn't fear herpes, it's probably inflamed hair follicles.
I am the guy right below you on the list of topics and it sounds like the same thing I have. I went to the doctor and he is pretty sure it is folliculitos which is infected hair follicols(sp). Obviously, you want to hear the doctors answer, but I know how stressed I was and thought I would throw a little reassurance your way.
It may just be chafing, or perhaps mild eczema. Fungus or yeast are possible, but much less likely. My advice is to keep the area dry, to apply an over-the-counter anti-fungus/yeast cream like clotrimazole 1% twice a day, and to see a doctor if the condition persists for more than 2 weeks. You may need a prescription-strength anti-inflammation cream, perhaps one containing hydrocortisone.
Take care.
Dr. Rockoff