11 May 2016 07:00
11 May, 2016
NIGHTHAWK ENERGY PLC
("Nighthawk" or "the Company")
Water Flood Approval Update
Nighthawk, the US focused oil development and production company (AIM: HAWK and OTCQX: NHEGY), announces an update to the water flood project approval process.
Water Flood Project Approval
As previously announced on 8 March, 2016, the Colorado Oil and Gas Conservation Committee ("COGCC") approved the Company's application for the Arikaree Creek water flood project, subject to the Company obtaining 80% approval of the non-cost bearing interest owners ("Third Party Owners") within six months of the date of approval, using an agreed upon revenue allocation method. On 4 May, 2016, the Company announced that the original water flood filing had been amended and filed with the COGCC to introduce a pilot project which reduced the acreage of the initial water flood area ("Pilot Project"). The Company has now received signed approvals from certain Third Party Owners that combined, exceed the required 80% approval threshold for the Pilot Project. The Third Party Owners agreed to a revenue allocation method based upon the COGCC staff recommendations.
Having now received the required 80% approval, the Company and its legal advisers are confident that regulatory approval for the sanction of the Pilot Project will be received at the COGCC's hearings scheduled for 6-7 June, 2016, when it will consider the Company's application to amend the original water flood filing. A further announcement will be made at the appropriate time.
Enquiries:
Nighthawk Energy plc | |
Rick McCullough, Chairman | +1 303 407 9600 |
Kurtis Hooley, Chief Financial Officer Elect | +44 (0) 20 3582 1350 |
Stockdale Securities Limited | +44 (0) 20 7601 6100 |
Alastair Stratton | |
Robert Finlay David Coaten | |