JOINT NEWS RELEASE

RED HILL AND PROPHECY ANNOUNCE COMPLETION OF MERGER, NEW COMPANY TO TRADE ON MONDAY UNDER 'PCYV'

Vancouver, British Columbia, April 14, 2010: Red Hill Energy Inc. ("Red Hill") (TSX-V:RH) and Prophecy Resource Corp. ("Prophecy")(TSX-V:PCY, OTC: PCYRF, Frankfurt: 3P1) are pleased to announce that the merger of Red Hill and Prophecy (see joint Red Hill / Prophecy news, January 21, 2010) will be completed on April 16, 2010 (the "Closing Date").

As the first step in the plan of arrangement (the "Arrangement") set forth in the Arrangement Agreement dated March 3, 2010, Red Hill intends to transfer $1,000,000 and its non-coal assets, principally the Red Lithium Property near Clayton Valley, Nevada, the Thor Rare Earth Property in Nevada and the Banbury Property in British Columbia, to Elissa Resources Ltd., ("Elissa") in exchange for Elissa common shares.

Red Hill will then create a new class of common shares called "Class A Shares". Prophecy will be amalgamated with a wholly-owned subsidiary of Red Hill, and the common shares of Prophecy will be voluntarily delisted from the TSX Venture Exchange (the "TSX-V"). Each one Red Hill share will be exchanged for 0.92 of a Class A Share and 0.25 of a Elissa common shares, and each Prophecy share will be exchanged for one Class A Share. In addition, each Red Hill stock option and warrant, including the Red Hill Placement Warrants, will entitle the holder to receive 0.92 Class A Share and each Prophecy stock option or warrant, including the Placement Warrants, will be exchanged for an option or warrant to acquire one Class A Share.

Following the Arrangement, Red Hill has agreed to change its name to "Prophecy Resource Corp."  ("New Prophecy") and will have a total of approximately 96,672,974 Class A Shares issued and outstanding, as well as options and warrants entitling holders to purchase approximately 30,088,865 Class A Shares, comprising 6,996,600 options at exercise prices ranging from $0.25 to $1.03 and having expiry dates ranging from February 14, 2012 to March 24, 2015 and 23,092,265 warrants at exercise prices ranging from $0.10 to $1.36 and having expiry dates ranging from May 31, 2010 to March 31, 2012.

As a result of the Arrangement, the Red Hill and Prophecy securityholders will be Class A securityholders of New Prophecy. As part of the Arrangement, the Class A Shares of New Prophecy will be renamed as new common shares.

Elissa will have 16,455,758 common shares issued and outstanding, all of which will be held by former Red Hill shareholders and no options or warrants outstanding.

The last day of trading of the common shares of Red Hill and the common shares of Prophecy on the TSX-V will be Thursday, April 15, 2010. At the open on Friday, April 16, 2010, each of Red Hill and Prophecy will be halted for trading with the common shares of Prophecy delisting from the TSX-V at the close of business. On Monday April, 19, 2010, the shares of New Prophecy will be listed and posted for trading under the symbol PCY.V.