Hawk Exploration, Ltd. announced audited earnings and production results for the fourth quarter and full year ended December 31, 2012. For the quarter, the company reported petroleum and natural gas sales of $3,294,000 against $3,120,000 a year ago. Funds flow from operations was $1,484,000 or $0.04 per share against $1,311,000 or $0.04 per share a year ago. Comprehensive loss was $529,000 or $0.02 per share against $6,998,000 or $0.25 per share a year ago. Capital expenditures was $2,919,000 against $1,698,000 a year ago. For the full year, the company reported petroleum and natural gas sales of $12,030,000 against $10,498,000 a year ago. Funds flow from operations was $5,654,000 or $0.16 per share against $4,445,000 or $0.16 per share a year ago. Comprehensive income was $96,000 or $0.00 per share against comprehensive loss of $7,272,000 or $0.26 per share a year ago. Capital expenditures was $9,221,000 against $11,025,000 a year ago. The company announced production results for the fourth quarter and full year ended December 31,2012. For the quarter, the company reported total production increased to 592 boe/d against 435 boe/d a year ago. For the full year, the company reported total production averaged 510 boe/d of production in 2012, a 21% increase over 2011 average production of 420 boe/d. The company announced that the corporation has set a $10 million capital budget for 2013 that will focus on development opportunities in western Saskatchewan and east central Alberta targeting light and heavy crude oil both through horizontal and vertical drilling. The company announced that for the remainder of 2013, the company expects to drill six (5.5 net) vertical wells and two (2.0 net) horizontal wells in its core area of western Saskatchewan and east central Alberta.

Hawk Exploration, Ltd. provides operational update for the fourth quarter of 2012. For the quarter, the company reported production averaged approximately 590 boe/d, a 36% increase from the fourth quarter of 2011 while current production is approximately 600 boe/d weighted 95% to crude oil. The Corporation is planning an active drilling program in the first quarter of 2013 and expects to drill five (4.0 net) vertical wells targeting heavy oil at Silverdale and Dulwich in western Saskatchewan in the first quarter of 2013. Hawk expects to drill three (2.0 net) vertical wells at Silverdale targeting the Sparky formation delineated from three dimensional seismic data shot in the fourth quarter of 2012. Hawk has also recently completed three separate two dimensional seismic programs in western Saskatchewan and eastern Alberta which are expected to lead to vertical oil drilling in the second and third quarters of 2013. The five (4.0 net) well vertical drilling program is anticipated to start later in February, depending on rig availability.

Hawk Exploration, Ltd. announced earnings results for the third quarter and nine months ended September 30, 2012. For the quarter, the company reported petroleum and natural gas sales of CAD 3.046 million compared with CAD 2.617 million for the same period a year ago. Funds flow from operations was CAD 1.432 million CAD 0.04 per share compared with CAD 1.090 million CAD 0.03 per share for the same period a year ago. Comprehensive income was CAD 0.069 million CAD 0.00 per share compared with comprehensive loss of CAD 0.301 million CAD 0.01 per share for the same period a year ago. Capital expenditures were CAD 2.852 million compared with CAD 3.930 million for the same period a year ago. For the nine months, the company reported petroleum and natural gas sales of CAD 8.736 million compared with CAD 7.378 million for the same period a year ago. Funds flow from operations was CAD 4.170 million CAD 0.12 per share compared with CAD 3.134 million CAD 0.12 per share for the same period a year ago. Comprehensive income was CAD 0.626 million CAD 0.02 per share compared with comprehensive loss of CAD 0.274 million CAD 0.01 per share for the same period a year ago. Capital expenditures were CAD 6.301 million compared with CAD 9.326 million for the same period a year ago. For the quarter, the company reported crude oil and natural gas liquids were 505 bbl/d compared with 403 bbl/d for the same period a year ago. Natural gas 126 mcf/d compared with 333 mcf/d for the same period a year ago. Averaged production for the third quarter of 2012 was 526 boe/d against 458 boe/d a year ago. For the nine months, the company reported crude oil and natural gas liquids were 457 bbl/d compared with 362 bbl/d for the same period a year ago. Natural gas 151 mcf/d compared with 316 mcf/d for the same period a year ago. Averaged production was 482 boe/d against 415 boe/d a year ago. In the fourth quarter of 2012, Hawk has drilled two (1.5 net) horizontal wells in western Saskatchewan. At Carruthers, the Corporation drilled its second 100% working interest horizontal well at 192/09-10-46-23W3 directly offsetting the horizontal well drilled at 191/09-10-46-23W3 in August 2012. The 192/09-10-46-23W3 well is currently being completed and is expected to be placed on production in early December 2012. At Seagram Lake, Hawk participated in the drilling of one (0.5 net) horizontal well in October 2012 targeting the Leduc (Duperow) Formation. This horizontal well was recently placed on production and is currently in its post completion clean up phase. Initial production rates have averaged 30 bopd (15 - net) with a 20% water cut. Hawk expects to drill one (0.9 net) vertical well targeting the Sparky Formation at Baldwinton, in western Saskatchewan, in early December 2012. Also, the Corporation has recently completed the shooting of a three dimensional seismic program in the Silverdale are of western Saskatchewan. This 3D program is currently being interpreted to evaluate potential future drilling locations on Hawk's land at Silverdale. The corporation set an CAD 8.5 million capital budget for 2012 which has led to steady growth in production through the first three quarters of 2012 and Hawk intends to build upon this success in 2013. Hawk's board of directors has approved a capital budget for 2013 of CAD 10 million which will focus on oil development drilling mainly in Western Saskatchewan. The 2013 budget is expected to facilitate the drilling of three (3.0 net) horizontal wells at Carruthers and Dankin and six (5.9 net) vertical wells all of which are targeting heavy oil in Western Saskatchewan. The 2013 capital budget also anticipates the drilling of two (2.0 net) vertical wells targeting light oil in central Alberta and one (0.5 net) horizontal well targeting light oil in the Viking Formation, also in Central Alberta, where Hawk has accumulated approximately 4,000 acres of land at a 100% working interest adjacent to an existing Viking light oil pool. Based on the approved capital budget, Hawk anticipates average annual production of approximately 700 boe/d with an exit rate of 850 boe/d and net debt and working capital at the end of 2013 of CAD 8 million. The 2013 capital budget is expected to be funded by way of cash flow from operations and the corporation's existing credit facility of CAD 12 million.