Nighthawk provides preliminary results for the year ended 30 June 2010 and provides an operational update for its lead projects.

Financial Highlights • Revenue increased 332% to US$2.1 million (2009: US$498,000) • Invested approximately US$30 million in development of projects • Loss for the financial year of US$1.28 million (2009: US$1.30 million) • Cash at year end of US$7.2 million and debt free • Post year end, secured a three year Equity Finance Facility ('EFF') of up to £25 million with Darwin Strategic Limited

Tim Heeley, Chief Executive Office ('CEO') of Nighthawk, said, 'Having just been appointed CEO it is too early to comment on specific initiatives that we will look to introduce over the coming months. However, it is important to stress at this stage that we will, as a priority, review spending to ensure that our resources are effectively targeted. This process will involve a thorough review of strategy and performance to ensure that the months and years ahead for Nighthawk are value-adding.

'The priority at Jolly Ranch is to determine the most efficient fracturing ('fraccing') method for the multi-stacked hydrocarbon bearing horizons. This initial phase takes longer than with a conventional development; however, once the shale formations are properly understood and capable of demonstrating long-term production the results should be applicable can be applied to the whole of the Nighthawk acreage, given the homogenous nature of the shales at Jolly Ranch, thereby creating significant value.'

Operational Update - Jolly Ranch • Drilling activity taking total wells at Jolly Ranch to 19: 16 producers (6 currently producing), 2 water disposal wells and one shut-in production well recently acquired at no cost to Nighthawk. • Each producing well has encountered hydrocarbons in multiple horizons. • The John Craig 7-2 wildcat well, drilled approximately 30 miles north-west of the Craig Ranch core area, confirmed the extension of shales to that area. The well was placed on pump during September and whilst currently producing around 30 bopd, sand is prohibiting optimum flow and the well will be cleaned out prior to being put back onto test production. • Test production during the year, net to Nighthawk, was approximately 11,000 bbls net of royalty and production taxes. • Given the performance of some of the wells, it is now anticipated that the previously advised target of 1,000 bopd gross will not be met by the end of 2010. Production varies significantly on a day-by-day basis due to the limited number of wells currently on test production. This effect will dissipate as further wells are brought onstream. • Key to generating value will be to determine the most efficient fraccing method for the multi-stacked hydrocarbon bearing horizons. A further five well programme has been permitted, but the immediate focus of Nighthawk and the Operator is on the completion and testing of existing wells in order to accelerate production rates and increase understanding of the best completion techniques. • Macquarie Tristone will continue the marketing process to attract a potential farm-in partner for a proportion of the Jolly Ranch project until the end of the year. In the event that a suitable transaction is not in prospect by the end of the year, the Board's current intention is to withdraw from the process until further progress has been made in understanding the drilling and completion techniques which are best suited to the Jolly Ranch project. • Leading petroleum consultants Gaffney Cline & Associates has been appointed to undertake a Reserves and Resource assessment of Jolly Ranch, the completion of this report is anticipated late Q4 2010/early Q1 2011 following completion of the Schlumberger Eclipse Reservoir simulation model.

Operational Update - Revere (incorporating the Devon, Buchanan and Xenia fields) • 167 production wells have been drilled on Revere to date, with 118 wells awaiting completion and a further 96 currently permitted. • Total net production over the year was just under 30,000 boe (net of royalty and production tax) (2009: 9,105 boe net). • The Xenia gas project, brought on-stream in November 2009, is an important contributor to revenues with gas production currently in excess of 500,000 cubic feet per day. • Recent Xenia reserve evaluation conducted by Oilfield Production Consultants Limited, shows total 2P reserves to be 1.4 billion cubic feet over 6,000 acres. The project area since that evaluation has grown to in excess of 15,000 acres. • Oil production is increasing at Devon and Buchanan with over 100 wells on production, a figure growing as the more recently drilled wells are brought on-line. • New acquisitions such as Hammond and Green Valley are expected to provide further revenue growth to what is now a substantial low-cost stand-alone project in the Nighthawk portfolio.

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