Gold Hawk Resources Inc.

Gold Hawk Resources Inc.

November 24, 2008 06:00 ET

Gold Hawk Receives Unsolicited Expression of Interest and Retains Advisors Regarding Alternatives for Its Peruvian Subsidiary

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 24, 2008) - Gold Hawk Resources Inc. ("Gold Hawk" or the "Company") (TSX VENTURE:CGK) today announces that in response to the receipt of an unsolicited expression of interest regarding all or part of the Company's wholly owned subsidiary, Compania Minera San Juan (Peru) S.A., and due diligence being conducted on the property by two other parties under confidentiality agreements, the Board of Directors is forming a Special Committee and has retained an independent financial advisor in Lima and Fraser Milner Casgrain LLP in Vancouver as its legal advisors.

The Company cautions shareholders that there is no assurance that a specific proposal will arise as a result of the expressions of interest. Negotiations resulting from an expression of interest may or may not result in any specific transaction and no timetable has been set for the completion of any potential transaction.

While the permitting process for a permanent tailings handling area at Chinchan has been lengthier than the Company initially anticipated (see August 29, 2008 media release), Gold Hawk is working closely with the Peruvian government, specifically the Ministry of Energy and Mines, Ministry of Environment as well as other government ministries, to expedite the process within the framework of Peruvian law. The Company is in the final stages of completion of an Environmental Impact Assessment (EIA) of the proposed Chinchan tailings handling area and initial preparations have been made at Chinchan to accept tailings. Gold Hawk has maintained all of its prior permits for operation, mining, water and other regulatory commitments at the Coricancha mine site and processing plant.

Public meetings held in the area at the end of October were favourably received. The Company has strong support among the communities near the mine and proposed permanent tailings disposal sites and positive relationships with community members.

About Gold Hawk Resources Inc.

Gold Hawk (TSX VENTURE:CGK) is a Canada-based precious and base metals company with reserves and resources containing gold, silver, lead, zinc and copper. Since the acquisition of the wholly owned Coricancha mine in Peru in March 2006, the mine and concentrator were refurbished and commercial production status was achieved on October 1, 2007. The rated capacity of the processing facility is approximately 600 tonnes of ore per day.

In early May 2008, during a regular inspection of its facilities, the Company detected evidence of ground movement uphill and near the tailings handling area and processing plant. As a precautionary measure, company management immediately suspended plant operations and tailings placement pending further investigation of the extent of the movement. Geotechnical consultants subsequently determined the cause of the movement was due to excessive irrigation by third parties of the hillside above the tailings and processing plant. In consultation with authorities, a number of mitigation measures were immediately implemented, including termination of the use of the irrigation system, installation of instrumentation to detect ground movement and de-watering of the affected area. Mining operations, as well as the crushing and grinding circuit, are not affected. Due to the Company's proactive steps to mitigate landslide risk, as of the end of July 2008 the ground movement effectively ceased.

To further assist in minimizing the risk to people, the environment and property, on July 18, 2008, the Peruvian government issued an Emergency Decree declaring a State of Emergency in the District of San Mateo. Gold Hawk expects to return to production in the second quarter 2009 following the issuance of a permit for the permanent Chinchan tailings handling area and obtaining additional financing.

Gold Hawk is based in Vancouver, Canada and is operated by an experienced management team. Gold Hawk and its wholly owned subsidiary, Compania Minera San Juan (Peru) S.A. also have exploration properties in Peru and Canada (Quebec), and are actively pursuing other growth opportunities.

This document may contain "forward-looking statements" within the meaning of Canadian securities legislation. These forward-looking statements are made as of the date of this document and Gold Hawk Resources Inc. (hereinafter referred to as the "Company") do not intend, and do not assume any obligation, to update these forward-looking statements. Forward-looking statements relate to future events or future performance and reflect management of the Company's expectations or beliefs regarding future events and include, but are not limited to, statements with respect to the estimation of mineral reserves and resources, the realization of mineral reserve estimates, the timing and amount of estimated future production, costs of production, capital expenditures, success of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative of these terms or comparable terminology.
By their very nature forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, risks related to actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of resources; possible variations in ore reserves, grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of development or construction activities; as well as those factors detailed from time to time in the Company's interim and annual financial statements and management's discussion and analysis of those statements, all of which are filed and available for review on SEDAR at Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.

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