Blackhawk Resource Corp.

Blackhawk Resource Corp.

November 27, 2009 08:31 ET

Blackhawk Resource Corp. Announces Sale of Brazilian Subsidiary

CALGARY, ALBERTA--(Marketwire - Nov. 27, 2009) - Blackhawk Resource Corp. ("Blackhawk" or the "Corporation") (TSX VENTURE:BLR) is pleased to announce it has signed a Purchase and Sale Agreement to dispose of all of the issued and outstanding securities of RMC Exploracao Petrolifera Ltda. ("RMC"). RMC is a subsidiary of the Corporation and holds the Corporation's exploration blocks in Brazil. RMC has expended approximately $460,000 on the acquisition and evaluation of the Brazilian properties. With the recent change of management and the board of directors of the Corporation, it was determined that the Corporation would focus on resource opportunities in Western Canada.

Under the Purchase and Sale Agreement, the Corporation will transfer all of the shares of RMC to an arm's length purchaser for proceeds totaling $603,000 (US$550,000). The transaction is conditional upon receipt of certain approvals including final TSX Venture Exchange acceptance and final approval of ANP, the Brazilian energy regulator.

Trading in the securities of the Corporation should be considered highly speculative.

Statements in this press release may contain forward-looking information including expectations of future operations, commerciality of any oil or gas discovered, operating costs, commodity prices, administrative costs, commodity price risk management activity, acquisitions and dispositions, capital spending, access to credit facilities, income and oil taxes, regulatory changes, and other components of cash flow and earnings. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the company. These risks include, but are not limited to, the risks associated with the oil and gas industry, commodity prices and exchange rate changes. Industry related risks could include, but are not limited to, operational risks in exploration, development and production, delays or changes in plans, risks associated to the uncertainty of reserve estimates, or reservoir performance, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. The reader is cautioned not to place undue reliance on this forward-looking information.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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