Pre IPO price 4p
Opening price on debut 25p
Floatation price 46p to raise 14million to extend Jolly Ranch
Current fair value estimate 114p
Market cap 70.59 million.
Value of Cisco Springs investments 98 million.
Value of Vogel investments 75 million.
Desparado trucking now Nightfox 250,000 for a 50% stake with partner Running Foxes.
Centurion Project Kansas, 150,000 for a 50% stake.
Jolly Ranch Colorado, 40,000 acres cost 356,000 for a 50% stake.
Cash in bank 7.75 million.

As this EPIC opens on AIM today anything could happen. On the one hand you have traders trying to cash in a sixfold profit. You will also have a clambering of traders after shares because, firstly they could only get 75% of their allocation because of demand. Secondly at 25p this company is still way under valued.

RNS Number : 0568I
Nighthawk Energy plc
13 November 2008




Nighthawk Energy plc

Centurion Project Update


The directors of Nighthawk Energy plc ('Nighthawk' or 'the Company') (AIM: HAWK), the US focused hydrocarbon production and development company, are pleased to announce an operational update in respect of the Centurion project. Nighthawk holds a 50 per cent. interest in the project, operated by Running Foxes Petroleum Inc. ('Running Foxes'), which holds the remaining percentage interest.

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Franklin 13-6 well placed on production at a restrained rate of 80 barrels of oil per day
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Hydrocarbons encountered at Atoka-Nighthawk 12-29 in the Simpson and Mississippian sandstones
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Water and gas lines being laid to previously drilled water disposal well, lowering water disposal costs from US$3.00 to US$0.10 per barrel

The Centurion project, which is located in Sumner County, Kansas, covers approximately 15,000 acres and lies within the prolific Sedgwick Basin which has produced from the Arbuckle, Simpson, Viola, Mississippian and Cherokee horizons at depths of less than 5,000 feet.

On 8 October 2008, Nighthawk announced that two low cost exploration wells had been drilled, the Franklin 13-6 and the Atoka Nighthawk 13-11, both of which indicated positive results. The initial wells were located on a major basement flexure testing multiple pay zones. In addition, the drilling of the Atoka-Nighthawk 12-29 well had commenced at that time.

Franklin 13-6

The Franklin 13-6 well reached total depth at 3,904 feet and encountered excellent live oil shows and large mudlog gas kicks throughout a 60 foot zone from 3,391 to 3,451 in the Mississippian Chat, a carbonate reservoir and prolific production horizon in the area.

The Franklin 13-6 well has since been completed in three Mississippian zones and placed on production. The well is now moving 160 barrels of fluid a day with an oil cut of 50 per cent., equating to current production of 80 barrels of oil per day and associated gas. The installation of a higher capacity pumpjack is being considered by the operator in order to move greater volumes of fluids, which is expected to increase oil production significantly.

The operator is currently laying water and gas lines to the water disposal well Andra 16-12 drilled by Nighthawk and Running Foxes during 2007. Operation of the water disposal well will have a dramatic effect on project economics. Water can be moved to the water disposal well for approximately US$0.10 per barrel compared to US$3.00 by trucking.



Atoka-Nighthawk 13-11

The Atoka-Nighthawk 13-11 well was completed at 4,000 feet and is dewatering the Excello, Summit and V shales. The well is making increasing amounts of gas and the operator is pursuing a tap facility to sell product. Regional infrastructure is good and an accessible major pipeline is located near to the project area.

Atoka-Nighthawk 12-29

The Atoka-Nighthawk 12-29 well has encountered hydrocarbons in both the Simpson and Mississippian sandstone. The well is being completed in a Simpson sand and will be acidised in the near future.

Estimated oil in place for conventional reservoirs in the Centurion project area vary from 5,000 to 500,000 barrels of oil per well on 40 acre spacing depending on reservoir characteristics.

David Bramhill, Managing Director of Nighthawk commented 'This initial success at Centurion is very encouraging and the land base of in excess of 15,000 acres offers substantial potential for the future. Of Nighthawk's seven projects in which it holds significant interests ranging from 50 to 80 per cent., four are now in production, Jolly Ranch, Devon Oilfield, Cisco Springs and Centurion. During the remainder of 2008 we also expect some of the Buchanan Group projects to attain production status. The success of the Centurion wells highlights the technical skills of our partner Running Foxes who maintain a drilling success rate of in excess of 90 per cent. over our jointly held projects.'

Hawk could be the hot one for 2009 .

Hope so i am holding a lot of these,watching price of oil it seems to be moving up a little bit.

my attention span isn't so good, but reading the above, though HAWK may be producing some oil, it's barely enough to fill my car each day and the projected reserves on Centurion have a 10-fold variable ...... what have i missed that makes HAWK such a sure-fire winner?

Jolly Ranch prospect!

http://www.nighthawkenergy.net/index.html

i actually hold HAWK and certainly like the fact that the have a very high strike rate .....

however, it is not at all clear (to me) when they will be pumping decent volumes of oil - say 10,000 bpd - or if there is even such a likelihood,

it is also not at all clear at what level crude needs to be to make the whole exercise worthwhile, not that i believe <$60 or even $70 will be the mark for very long

DB's strategy was always to build up the asset and then sell, however, there now appears to be a thrust to start earning as well, so probably a bit of both in these uncertain times. A recent note (27 Oct 08) from GE&CR said that based on oil at $60 a barrel it valued HAWK at 147p, since then we have had more positive well news.

cynic it appears Hawk's production target for mid 2009 is 5000 bopd from Jolly Ranch. When this is achieved it will determine the real value of their assets rather than back of the envelope guesstimates.

i know that will fill up my car for a couple of months, but it doesn't sound that much to me

An increase in sp must be coming....but the market is so depressed !.

anyone know why SP tanked. was looking to top up at 30-something pence levels so this should be a better opportunity. however when something looks too good to be true[a lower SP] then it normally is a bad sign.
Alex

According to posters on other boards, DB says there is nothing to worry about with HAWK. I don't see any reason to doubt him.

You must come to your own conclusion and act upon it. Good luck.

The whole market is just spooked at the moment....!.

No. I've seen this drop before. You'll find the sp will probably recover and getting in at 25p was a great short-term trade if you had the courage whch I didn't!

In at 25p and out at 27.75p.

Wish I'd done it!

You can only do this in a sipp or bet spreads....otherwise 30 days wait for the same stock !.

Sorry but don't know what you're talking about.

I'm saying buy at 25p, wait 20 mins then sell at 27.75p and run like hell with the profit. Tis called day trading of which alot I do, unfortunately not always successfully! Being doing it for 4 years now so unless something has changed the last 2 weeks I fear the stress of the SM is affecting your brain rf ;-)

Enlighten me.

If you are trading in a normal account you have to wait 30 days to buy the same stock back, you can do what you suggest but you have to move on to another stock...if you are buying and selling the same stock then you will have capital gains to pay....check the rules...there are allowances and you need to read a tax book about this....in a sipp or bet spreads, you can do this as much as you like, if you buy back within 30 days outside this : it gets very complicated, and please stop behaving like a prat !.

Please rf don't be stupid.

I never said there wasn't capital gains to pay. Of course there are tax implications.

Tis nothing to do with 30 days. I wasn't even talking about tax. I was talking about day trading. You can buy and sell a stock within a minute if you want. The shortest I have held a share is about 2 mins when Henderson Morley was popular a couple of years ago. I made about 100 in that time.

I may misunderstand what you are saying and if I do then I apologise. If however you are saying you can't do what I have been doing for years then it really does sort of sum it up for you.