Gold Hawk Resources Inc.

Gold Hawk Resources Inc.

November 29, 2010 21:38 ET

Gold Hawk Files Third Quarter Financial Results

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 29, 2010) - Gold Hawk Resources Inc. ("Gold Hawk" or the "Company") (TSX VENTURE:GHK) announces that it has filed on its financial results for the three and nine months ended September 30, 2010.

This media release should be read in conjunction with the unaudited financial statements and notes thereto for the period ended September 30, 2010, and management's discussion & analysis ("MD&A") for the period ended September 30, 2010 available on the Company's website and filed on SEDAR at

The Company retains a strong balance sheet with $15.3 million in cash, working capital of $15.4 million and long-term debt of $3.6 million at the end of the third quarter of 2010. Gold Hawk recorded a net income of $4.5 million ($0.34 per share) for the period ended September 30, 2010, as compared with a net loss of $4.6 million ($0.43 per share) in the same period of 2009. The 2010 quarterly results were primarily derived from gain of $4.6 million on the sale of the Company's remaining 15% interest in its operating subsidiary Compania Minera San Juan (Peru) ("CMSJ").

"Now that we have completed the acquisition of the Oracle Ridge Mine and added several of the principals from that organization who bring a wealth of financial, geological and operational expertise, together, we are well positioned to deliver on shareholder value," said Kevin Drover, Gold Hawk's Chairman and CEO. "While the immediate focus is on the Oracle Ridge project, Gold Hawk continues to review potential merger and acquisition opportunities with the goal of quickly growing the Company."

During the third quarter of 2010, management focused its efforts on concluding due diligence and completing the acquisition of the Oracle Ridge Copper Mine located 24 km northeast of Tucson, Arizona. Further to the closing of the transaction on September 28, the Company has initiated the process of completing a NI 43-101 compliant technical report on reserves and resources and plans to bring the mine back into production.

Subsequent to quarter-end, the Company received proceeds of $1.1 million from the forced conversion of warrants and $7.0 million (net of finder's fee) from a private placement with Coalcorp Mining Inc. In addition, the Company sold certain shares and warrants subsequent to quarter-end that were classified as "held for trading" for proceeds of $4.6 million. The Company will recognize a total realized gain of approximately $2.7 million for the year-end December 31, 2010 from this transaction, of which an accrued unrealized gain of $1.3 million was recognized in the nine months ended September 30, 2009.

Gold Hawk is pleased to announce that Tiffany Grenke has joined the Company as Corporate Controller. Tiffany is a Chartered Accountant with expertise in external financial reporting and compliance. Prior to joining Gold Hawk, Tiffany was the Corporate Controller of New Gold Inc. and its predecessor company Peak Gold Ltd. Tiffany also previously held the position of Manager with the public accounting firm Deloitte & Touche LLP, where she led audits of public companies and oversaw SOX 404 implementations with specific emphasis on the mining industry. Tiffany has a BSc from the University of British Columbia.

The Board of Directors has also approved and granted stock options to employees of the Company. Options were granted to purchase 125,000 common shares in the capital of the Company, exercisable for a period of five years at a price of $1.82 per share and subject to the terms and conditions of the Company's Stock Option Plan and TSX Venture Exchange approval. The common share stock options vest one-third immediately upon the date of grant, one-third will vest 12 months from the date of grant and the final one-third of the options will vest 24 months from the date of grant.

About Gold Hawk Resources Inc.

Gold Hawk (TSX VENTURE:GHK) is a Vancouver, Canada-based company with a focus on uncovering overlooked deep-value projects to achieve superior shareholder returns. The Company is the sole owner and operator of Oracle Ridge Mining LLC and copper mine located 24 km northeast of Tucson, Arizona. Gold Hawk has working capital of approximately $25 million, minimal long-term debt and is managed by an experienced team of mining professionals with extensive operating experience.

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") does not intend, and does 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, commodity prices, 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.

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.

Contact Information