Blackhawk Announces Financial Results

CALGARY, ALBERTA--(Marketwired - Nov. 28, 2014) - Blackhawk Resource Corp. ("Blackhawk" or the "Corporation") (TSX VENTURE:BLR) is pleased to announce its financial results for the three months ended September 30, 2014, and to provide an update on its investment strategy.

HIGHLIGHTS

• Net investment revenue for the three months ended September 30 of $81,135.
• Realized gains, gross investment revenue and revenue from oil and gas assets for the period was $275,006, this was offset by unrealized losses of $193,871.
• As at September 30, 2014, Blackhawk has $3,654,980 in working capital.
• As at September 30, 2014, Blackhawk held $2,794,685 in current investments or 76% of its working capital.
• As at September 30, 2014, net asset value per share ("NAV per share") was $0.16 (See "Use of Non-GAAP Financial Measures").

ABOUT BLACKHAWK

During the previous fiscal year, the Corporation received conditional approval of the proposed change of business from an "oil and gas issuer" to an "investment issuer"; the Corporation's primary focus will be to seek returns through investments in the securities of other companies and other assets.

Since receiving conditional approval the Corporation has begun to both evaluate investment opportunities and has made a number of investments to date. The broad investment strategy of the Corporation relies on the expertise of management and the board, to source and evaluate investment opportunities that will provide above average returns for the shareholders. The goal of this strategy is to develop a portfolio of investments, which is expected to include equity, debt instruments and direct asset investments which will continue to provide positive cash flow returns. The Corporation is not intending to be industry specific, but is reviewing investment opportunities under the return and risk profile of each. In time the Corporation hopes to be able to distribute a portion of these earnings back to its shareholders through a sustainable dividend.

PORTFOLIO INVESTMENTS

As at September 30, 2014, the Corporation held total investments at fair value of $2,794,685 comprised of equity type investments of $1,717,610, debt type investments of $1,077,075 and oil and gas assets of $237,910. In addition the Corporation held a cash balance of $666,189.

As at September 30, 2014, NAV per share was $0.16 as compared to $0.17 at June 30, 2014 (see "Use of Non-GAAP Financial Measures").

Investments at fair value by sector consist of the following as at September 30, 2014: