2010-06-30-2010-06-28-2010-06-28

Each co. acquired 50% interest in Hammond project in Bourbon County, Kanasas, comprising 4,773 gross net acres held by production, with associated infrastructure. Running Foxes is operator.

Nighthawk Energy Plc (London Aim: HAWK) reports that the company and its joint-venture partner, privately held, Colorado-based Running Foxes Petroleum Inc., have each acquired a 50% interest in the Hammond project and its associated production assets in Bourbon County, Kansas for an undisclosed price.

The acquired Hammond interests involve 4,773 gross net acres held by production. Currently, there are 29 gas wells and 13 oil wells on the properties, which are adjacent to the Buchanan and Worden leases in Missouri. The gas and oil wells previously produced from coal and shale formations. Further, Hammond has been consolidated into the Revere project, which covers 60,000 gross acres. Running Foxes is operator of the project.

Also included in the acquisition are associated oil tank storage batteries and pipelines. A 12-mile pipeline and gas-gathering network exists on the Hammond acreage, which connects to Nighthawk's 50%-owned Bourbon County Pipeline to the west. The joint-venture now operates 51 miles of main pipeline and gathering systems in the Midcontinent region.

As operator, Running Foxes has initiated a redevelopment program for the gas producers, which consists of fracture stimulating the Riverton coal, the AW coal and the Tebo 'B' shale formations present in the wells. Additionally, the operator will recomplete the oil producers, currently targeting the Bartlesville sandstone, and will bring the wells online with additional production and water-injection wells. The Bartlesville reservoir trends in the Revere project, for which a water-flooding program is under way.

Running Foxes and Nighthawk have additional oil-shale interests in Colorado.