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.

The proof of the "pudding" will be when DB gets round to telling shareholders what actual production is being achieved not what so called experts think it could be.

gnash - no ... i meant what i said

halifax - or what DB would like us to believe on his say-so rather than hard facts

Nighthawk 'delighted' with Devon review results
Business Financial Newswire


Nighthawk Energy is delighted with the findings of Oilfield Production Consultants' independent technical review of of the Devon Oilfield.

Nighthawk has an 80% interest in the Devon Oilfield waterflood project, located in Bourbon County, Kansas, covering an area of 3,034 acres.

Running Foxes Petroleum is the operator and holds the remaining 20% of the project.

OTC estimates stock tank original oil in place over the entire Devon Oilfield project covering 3,034 acres is 26.25 million barrels based on Monte Carlo probabilistic calculations.

Managing director David Bramhill said: "We believe that the OPC study offers an excellent overview of the current position of the Devon project and highlights the rapid progress made during the last six months.

"We anticipate further positive news from the OPC technical study, currently underway on the nearby Buchanan Group, which has an acreage position ten times the size of Devon."

RNS Number : 6413T
Nighthawk Energy plc
10 June 2009

NIGHTHAWK ENERGY PLC

INDEPENDENT TECHNICAL REVIEW OF THE DEVON OILFIELD

The directors of Nighthawk Energy plc ('Nighthawk' or 'the Company') (AIM: HAWK), the US focused hydrocarbon production and development company, are pleased to announce the results of an independent technical review in respect of the Devon Oilfield conducted by Oilfield Production Consultants Limited ('OPC'). The report includes an estimate of the stock tank oil initially in place using the probabilistic Monte Carlo method.

Nighthawk has an 80% interest in the Devon Oilfield waterflood project, located in Bourbon County, Kansas, covering an area of 3,034 acres. Running Foxes Petroleum Inc. is the operator and holds the remaining 20% of the project. The Devon Oilfield is located within the Cherokee Basin, a very extensive and prolific shallow oil and gas producing area.

The main study area, where most of the wells have been drilled to date, consists of 761 acres on the Vogel lease. A detailed 3-D geological model was built by OPC on this study area using Schlumberger's Petrel software, the market leading geological modelling package. Monte Carlo probabilistic calculations were then made using the range of porosity, oil saturation and gross rock volume parameters derived from the 3-D Petrel model.

The oil in place in the offset Devon acreage (2,273 acres), comprising the Cleaver, Graham, Gross, Madison and Philips lease areas, was also calculated.


Set out below are the key points from the OPC report:

Highlights:

The most likely Monte Carlo probabilistic calculation of STOOIP over the entire Devon Oilfield project covering 3,034 acres is 26.25 million barrels of oil.

As additional wells are drilled in the offset acreage the hydrocarbon volumes are expected to rise.

Both oil and gas are currently being produced and sold from the Devon Oilfield project, the most recent production rates being approximately 115 boepd. Primary production of oil before the impact of water injection is a very positive sign for the effective drilling of the wells and the reservoir potential for producing hydrocarbons.

Water injection has commenced at Devon Oilfield, and the effects of the injection will be evident in the near future. Wells are drilled in a 'five spot' pattern of injectors and producers with a tight well spacing of 10 acres. Once the production response from the water injection is apparent at the production wells a forecast of field production can be estimated and waterflood reserves assigned to the field. Scoping simulation runs completed by OPC suggest that rates of 5-20 barrels of oil per day are possible from each individual production well.

Oil from the Devon Oilfield project is trucked to a nearby processing facility and gas is sold into a nearby pipeline. Since July 2008 approximately 5,000 stb of oil from primary production and 20 MMscf of gas have been sold.

The main reservoir is geologically continuous over a large area including the entire acreage owned by Nighthawk.

The shallow reservoir depth of less than 500 feet results in very low drilling cost per well (less than US$50,000). Thus, a large number of wells are being drilled to thoroughly define the geology of the field and efficiently drain the reservoir. The shallow depth and low reservoir pressure also allows for the use of inexpensive and simple surface facilities. No expensive high pressure equipment or pipelines are required.

The reservoir pressure is low (less than 200 psia) and the oil contains very little solution gas. Thus, there is little natural energy to help produce the oil from the reservoir. In this type of low pressure reservoir, water injection is commonly used to displace oil to the production wells. This is a simple straight forward process which has been applied successfully for decades on similar fields in the US and elsewhere in the world. Typical recovery factors in this type of waterflood project would be expected to range between 15-25% with careful design and implementation of the waterflood.

Significant infrastructure is already in place at the Devon Oilfield. A water injection plant has been installed, fluid storage sites constructed and surface flowlines put in place to transport the produced oil and gas.

Study Background

The Devon Oilfield is located within the Cherokee Basin, located in south eastern Kansas and north eastern Oklahoma. The Cherokee Basin is a prolific shallow oil and gas producing area with production from Pennsylvanian, Mississippian, and Ordovician reservoirs from less than 4,000 feet.

The oldest strata are the Cambrian sandstones and carbonates that lie directly on the Pre-Cambrian rocks. Overlying the Cambrian sediments are the Arbuckle Group of Ordovician age which consist of interbedded dolomites and limestones with minor shales. Overlying the Arbuckle Group are the Mississippi limestones which can be a significant hydrocarbon producer. The Cherokee Group of Pennsylvanian age overlies the Mississippian strata and is composed of predominantly shales and sandstones with minor limestones and coals. The Cherokee Group also represents a deltaic sequence that extends across all of the Cherokee Basin. There are several sandstones that are found within the group, however the Bartlesville Sandstone reservoir has produced the majority of hydrocarbons in the basin.

The total acreage held by Nighthawk at the Devon Oilfield is 3,034 acres. OPC has studied in detail 761 acres in the Vogel lease area, for which there are a large number of well penetrations. A detailed study using Petrel software and Monte Carlo simulation was performed to estimate oil in place.

The oil in place in the remaining offset acreage (2,273 acres) in the Cleaver, Graham, Gross, Madison, Phillips and Wade leases was then calculated. The offset leases are contiguous with the Vogel lease and the same geological formations are known to extend into these offset leases. Thus, the oil in place was estimated in these offset leases by taking the Monte Carlo estimates per acre and risking them for presence of sands. For the downside case it was assumed that the additional acreage would only contain 20% of the hydrocarbons/acre as in the study area; for the most likely case it was assumed that the additional acreage would contain 50% of the hydrocarbons/acre in the study area, and for the high case it was assumed that the additional acreage would contain 90% of the hydrocarbons/acre as in the study area.

Managing Director, David Bramhill, commented 'In keeping with our strategy of defining value across our portfolio, we are delighted with OPC's findings on what is effectively the prototype of Nighthawk's waterflood projects. We believe that the OPC study offers an excellent overview of the current position of the Devon project and highlights the rapid progress made during the last six months. We anticipate further positive news from the OPC technical study, currently underway on the nearby Buchanan Group, which has an acreage position ten times the size of Devon.'

Deals off for now. No money forthcoming. AST dropped like a stone.

It should be good news for HAWK. Time to top up I think.

Got some for 30p.

topped up also

I'm waiting to see if Inst's start to panic and offload some, I feel that there is going to be a second wave of downturn before a proper recovery. Its all over-reaction anyway, good luck all.

Yep, managed a few more from 32-33. Seems pretty shrewd move by HAWK and RF, oil prices now mean the deal looked worse every dollar it rose. What t1ts SS are shafting AST like that. HAWK is clearly recovering (and how!) but AST look very wounded - how will they strike a deal with anyone again?

Yep ! jumped in as well, not sure which way market is heading though !.

Alternatively perhaps SS had second thoughts about the value of 20% of Jolly Ranch.

Is this yet another example of pumping up the sp with announcements of potential deals?

maybe and maybe not but certainly money to be made this morning for the nimble .... still hold my base, but was in/out with 50% more and a tasty profit

u bought at 40 something pence recently when it fell......as did hyleo.....lol at hyleo he always gets it wrong.....back to his homework tonight

yes i did and never mind telling the truth .... this morning, i bought at 29.5 and sold about an hour later at 34.5, so one way and another pretty contented .... i also sold some others within the last 7/10 days but can't remember at what price nd can't be bothered to check

wasnt having a go at u cynic......its still hard going in stock market but better than recent year or so.....just wish some good news from buchanan or something would get this share to 50p plus again.....i believe in it but this will be a medium hold i believe but i dont mind

Nighthawk sells interest in Centurion project
Business Financial Newswire
Nighthawk Energy has sold its 50% interest in the Centurion project to Osceola Hydrocarbons for $5m in cash.

In addition, Nighthawk will be paid an annual royalty equal to 5% of the gross oil and gas revenues from the Centurion project received by Osceola.

The Centurion project is located in Sumner County, Kansas, and covers approximately 15,000 acres.

Development at Centurion has been relatively restrained due to Nighthawk's focus being directed at Jolly Ranch and the Waterflood projects.

It's a corporate governance nightmare!
Conflicting interests, lack of independent Directors, excessive levels of remuneration etc

Read all the nasty facts at www.investorschampion.com

$5m for the sale of 50% must be short of cash. When are they going to release some actual production figures?