Redhawk Resources, Inc.

Redhawk Resources, Inc.

April 23, 2010 17:40 ET

Redhawk Announces Private Placement and High Grade Drilling Program

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 23, 2010) - Redhawk Resources, Inc. ("Redhawk" or the "Company") (TSX VENTURE:RDK)(FRANKFURT:QF7) is pleased to announce a non-brokered private placement (the "Private Placement") of 11,500,000 units at a price of $0.35 per unit to raise gross proceeds of $4,025,000. Each unit consists of one common share and one-half of a transferable common share purchase warrant. Each share purchase warrant will be exercisable into one additional common share at an exercise price of $0.50 per common share for a period of two years, subject to accelerated expiry if the volume weighted average trading price of the Issuer's common shares exceeds $1.00 for 20 consecutive trading days. If at any time after the date that is 4 months and one day after the Closing Date the volume weighted average trading price for the Company's common shares on the TSX Venture Exchange (or such other stock exchange on which such shares are listed) is $1.00 or greater for 20 consecutive trading days, the Company may, within five days after such an event, provide notice (by issuing a news release) to the holders of Warrants of early expiry and thereafter, the Warrants will expire on the date which is 30 days after the date of the notice to such holders of Warrants.

A finder's fee of 6% of the total proceeds raised under the offering will be payable in cash on closing where appropriate. The private placement is subject to the acceptance of the TSX Venture Exchange.

The proceeds of the private placement will be used for a district wide drill program of six to eight drill holes testing coincident geologic, geochemical, and geophysical targets. Copper Creek has known mafic rocks within the district such as andesitic volcanics and diabase, older than and surrounding the existing porphyry hosted resources which remain open to expansion in most directions. Diabase is shown to be an excellent host in many Arizona porphyry deposits such as the Ray and Resolution deposits on the same trend and frequently has copper grades nearly double that of the normal mineralized intrusive host rocks. Andesites and other mafic volcanic rocks, such as those at Safford, can also frequently have copper grades up to 50% higher than the typical mineralized intrusive host rocks in the deposits. The mineralized intrusive host rocks at Copper Creek commonly have grades over 0.7% copper and in some areas are in excess of 1% copper which is higher than average grades for similar deposits. Redhawk has spent considerable time in house and with seniorporphyry copperconsultants developing a number of untested targets at Copper Creek. Redhawk continues to try to increase and quantify shareholder value and feels that a successful drill program could significantly add value to the Company by possibly finding higher grade resources to add to our current resource base.

Stephen Barley, Managing Director added: "Redhawk has consistently taken a conservative approach to drilling with the intent of always adding additional resources. We have been successful in defining sufficient resources to establish Copper Creek as an economically viable operation in accordance with our Scoping Study. The current program is not about expanding resources, it is focused on establishing a significant upside potential for Copper Creek through higher grade intercepts. This will in no way diminish the existing value of the known and expandable resource but provides an opportunity to display the currently hidden potential of our project which is an important exercise as we strive to maximize shareholder value. There are a number of recent examples where a small number of higher grade porphyry drill results have resulted in a substantial increase in value for investors."

About Redhawk

Redhawk is a Canadian-based resource exploration and development company with primary focus on the accelerated development of its advanced stage Copper Creek copper-molybdenum project in San Manuel, Arizona. The Company also has a gold/silver property in Nevada.

The 100% owned Copper Creek property consists of approximately seven square miles of almost totally contiguous patented and unpatented mining claims and state prospecting permits, located about 70 miles northeast of Tucson, Arizona and about 15 miles east of San Manuel. The property is in the prolific southwest US porphyry copper belt at the projected intersection of a major northwest belt of porphyry copper deposits or mines (Ray, Miami/Globe, Superior/Resolution, Johnson Camp) and a major east-northeast belt of porphyry deposits (San Manuel/Kalamazoo, Silver Bell, Lakeshore, Safford, Morenci). The property is within sight of the former BHP Kalamazoo/San Manuel copper smelter and mine and within 30 miles of an existing operating copper smelter. The area is a mining friendly and politically secure location with excellent and readily accessible infrastructure.

"J. Stephen Barley"
J. Stephen Barley, Managing Director

The forward-looking information contained in this press release is made as of the date of this press release and, except as required by applicable law, Redhawk does not undertake any obligation to update publicly or to revise any of the included forward-looking information, whether as a result of new information, future events or otherwise. By its very nature, such forward-looking information requires Redhawk to make assumptions that may not materialize or that may not be accurate. This forward-looking information is subject to known and unknown risks and uncertainties and other factors, which may cause actual results, levels of activity and achievements to differ materially from those expressed or implied by such information.

Neither TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

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