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Index: versioncontrol/mercurial/src/org/netbeans/modules/mercurial/ui/clone/CloneAction.java
--- versioncontrol/mercurial/src/org/netbeans/modules/mercurial/ui/clone/CloneAction.java Base (1.19)
+++ versioncontrol/mercurial/src/org/netbeans/modules/mercurial/ui/clone/CloneAction.java Locally Modified (Based On 1.19)
@@ -137,7 +137,11 @@
         final String prjName = projName;
         File cloneProjFile;
         if (!prjIsRepos) {
-            String name = prjFile.getAbsolutePath().substring(source.length() + 1);
+            String name = null;
+            if(prjFile != null)
+                name = prjFile.getAbsolutePath().substring(source.length() + 1);
+            else
+                name = target;
             cloneProjFile = new File (normalizedCloneFolder, name);
         } else {
             cloneProjFile = normalizedCloneFolder;