News Release
West Hawk Development Corporation Update
June 19, 2007 - Vancouver, B.C.: West Hawk Development Corp. (the "Company") (TSX.v - WHD, Frankfurt - H5N) is pleased to provide the following shareholder update.
West Hawk Development Corporation
"Dr. Wm. Mark Hart"
Dr. Wm. Mark Hart, President and CEO
About the Company: West Hawk Development Corp. is focused on providing valuable, high-demand energy products from a variety of sources. Assets include the Figure Four natural gas property located in the Piceance Basin, Colorado, being developed under a drilling and development agreement; the Tulita coal property in the Northwest Territories; the Groundhog coal property located in northwest British Columbia; and the Ellesmere Island, Nunavut Territory coal property.
Cautionary note: This report contains forward looking statements, particularly those regarding cash flow, capital expenditures and investment plans. Resource estimates, unless specifically noted, are considered speculative. The company has filed a National Instrument 51-101 Report on the Figure Four property. The company has filed a National Instrument 43-101 Report on the Tulita coal property in the Northwest Territories. The company has also filed a National Instrument 43-101 Report on the Nunavut coal property. Any and all other resource or reserve estimates are historical in nature, and should not be relied upon. By their nature, forward looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Cautionary Note to US investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as "reserves" unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.
West Hawk Development Corporation
- The management of WHD has been transitioning from Vancouver to Denver over the last few months. The management team is based in Denver, Colorado. It is projected that the Company will complete this move in the next 60 days.
- Mr. Michael Sandidge has resigned from the Board of Directors. We wish to thank Michael Sandidge for his effort as the independent director. The Company expects to announce a new independent director in the immediate future with a strong corporate governance background.
- Mr. Michael Townsend resigned as Chairman and Director, and from all management positions in the company during November 2006.
- Mr. Gary Wilson, formerly with BC Hydro's executive team, is managing our day to day Canadian operations.
- Approximately 2 million share purchase warrants have been recently exercised for total proceeds of approximately $300,000. The warrants expire on July 8, 2007.
- The company implemented a "Stock Trading Policy" in November, 2006. Among other provisions, the policy restricts insiders from executing a transaction with WHD shares during "blackout periods" when the Company is preparing to release financial and other sensitive material information. All directors and officers signed this policy.
- Wells 1, 2 & 3 have been completed to total depth. Two Wells were drilled deeper.
- Well 4 is currently being drilled and is at approximately 70% of it's targeted total depth.
- Stimulation and Completion activities of tight gas wells take on average 2 to 3 months to clean up and place into production. The gas must meet pipeline quality gas specifications before it can be sold commercially. Please see Dr. John Reeves, Jr.'s description of the completion process for a typical Piceance Basin well posted on the Company's website at www.westhawkdevelopment.com. The company is in the process of placing compression stations at each well site in order to reduce backpressure in the system. Water pumps are also being installed in each well in order to increase gas production.
- WHD continues selling gas to the system through the life of project contract.
- 4 drilled wells meets our contractual obligations for year 2007 under the agreement.
- It is the Company's intention to continue drilling above the contractual obligations for year 2007 to increase revenue and cash flow.
- In order to increase the efficiencies in the development of the gas project, the Company is in the process of acquiring 25% of a drilling fluids company. We envision important savings in the cost of these drilling products.
- The company is also in the process of evaluating 2 year contracts for drilling 24 wells. A 2 year contract will bring important savings to the company's operations. The Company is currently drilling on an expensive day rate.
- As per the Letter of Intent executed with Radar Acquisition Corp. (RAC), the Company has defined the coal sampling targets where the samples are going to be extracted. These samples will be certified by SGS, packaged and sent to Lurgi/Sasol laboratories in South Africa to determine coal gasification suitability.
- The Company is continuing its commercial efforts to identify the best markets for the products and by products of the project.
- Some possible off takers have already expressed their interest in the coal gasification products.
- WHD has adapted to the new NWT MacKenzie Valley Pipeline Project (MVPP) time line schedule.
- The company has confirmed its interest to the transporter to secure transportation capacity with the pipeline. As previously released, the Company filed a historical NI 43-101 technical report for the property, and is available for review at www.sedar.com or the Company's website. This report was completed by Weir International, Inc.
- It is the Company's intention to continue the "Consultation" negotiation of the "Access & Benefits Agreement" with First Nation. As soon as the agreement is in place, the Company will execute the Drilling and Sampling Program already defined for the property.
- WHD has received inquires from companies interested in the coal.
- The historical NI 43-101 report is currently being completed by Weir International, Inc.
- As previously released, the Company filed a historical NI 43-101 technical report for the property, and is available for review at www.sedar.com or the Company's website. This report was completed by Weir International, Inc.
- WHD has received inquiries from companies interested in the coal
"Dr. Wm. Mark Hart"
Dr. Wm. Mark Hart, President and CEO
THE TSX VENTURE EXCHANGE HAS NOT YET REVIEWED AND DOES NOT TAKE RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.
About the Company: West Hawk Development Corp. is focused on providing valuable, high-demand energy products from a variety of sources. Assets include the Figure Four natural gas property located in the Piceance Basin, Colorado, being developed under a drilling and development agreement; the Tulita coal property in the Northwest Territories; the Groundhog coal property located in northwest British Columbia; and the Ellesmere Island, Nunavut Territory coal property.
Cautionary note: This report contains forward looking statements, particularly those regarding cash flow, capital expenditures and investment plans. Resource estimates, unless specifically noted, are considered speculative. The company has filed a National Instrument 51-101 Report on the Figure Four property. The company has filed a National Instrument 43-101 Report on the Tulita coal property in the Northwest Territories. The company has also filed a National Instrument 43-101 Report on the Nunavut coal property. Any and all other resource or reserve estimates are historical in nature, and should not be relied upon. By their nature, forward looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Cautionary Note to US investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as "reserves" unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.
Contacts
North America
West Hawk Development, 303-524-1424
Email: news@westhawkdevelopment.com

