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Tuscany Announces 2012 Year End Reserves of 1.5 Million BOE, NPV10 $29.0 Million, No Debt

CALGARY, ALBERTA -- (Marketwire) -- 02/08/13 -- Tuscany Energy Ltd. (TSX VENTURE:TUS) ("Tuscany" or the "Company") is pleased to provide a summary of the independent evaluation and estimate (the "McDaniel Report") of the Company's proved and probable reserves as at December 31, 2012 prepared by McDaniel and Associates Consultants Ltd. ("McDaniel").

2012 Reserves, no debt

Proved plus probable reserves were 1,520 MBOE as of December 31, 2012, an 11% reduction from the prior year. The estimated net present value of future net revenue attributable to the Company's reserves, before tax, using a 10% discount rate, decreased by 22% to $29.0 million (98% oil), compared with $37.0 million at December 31, 2011.

The Company has 119.9 million shares outstanding, no debt and an available bank line of $8.5 million.

The decrease in reserves resulted primarily from lower heavy oil prices used in the McDaniel Report compared with the prices used in the independent reserves report for the year ended December 31, 2011. Downward technical revisions to three of the Company's Evesham wells, two located to the west and one to the south of the Company's main Evesham property, were partially offset by extensions at the Company's Macklin property.

During the last nine months the Company focused on developing additional water disposal capacity at its Evesham and Macklin heavy oil fields with associated pipelines and pumping equipment. The Company plans to begin development drilling operations during the second quarter of 2013.

The Company's December 31, 2012 reserves were evaluated in accordance with the Canadian Oil and Gas Evaluation Handbook and National Instrument 51-101 Standards of Disclosure for Oil and Gas Activities by McDaniel, a qualified reserves evaluator. The McDaniel Report is dated January 31, 2013 and effective December 31, 2012.


The following summary is based on the McDaniel Report.                      
                                                                            
Summary of Reserves                                                         
December 31, 2012                                                           
                       SUMMARY OF OIL AND GAS RESERVES                      
                AND NET PRESENT VALUES OF FUTURE NET REVENUE                
                           AS OF DECEMBER 31, 2012                          
                          FORECAST PRICES AND COSTS                         
                                                                            
                                                                            
                                                                            
                                                          RESERVES          
                ------------------------------------------------------------
                      LIGHT AND                                             
                     MEDIUM OIL           HEAVY OIL          NATURAL GAS    
RESERVES           Gross    Net (i)    Gross    Net (i)    Gross    Net (i) 
 CATEGORY         (MBbl)    (MBbl)    (MBbl)    (MBbl)    (MMcf)    (MMcf)  
----------------------------------------------------------------------------
PROVED                                                                      
 Producing             3.6       3.0     414.8     401.1     157.9     151.8
 Non-producing           -         -      35.6      34.5      12.2      12.2
 Undeveloped             -         -     289.9     284.0         -         -
----------------------------------------------------------------------------
TOTAL PROVED           3.6       3.0     740.3     719.6     170.1     164.0
                                                                            
PROBABLE               2.3       1.8     738.7     715.3      40.1      38.5
----------------------------------------------------------------------------
                                                                            
TOTAL PROVED                                                                
 PLUS PROBABLE         5.9       4.8   1,479.0   1,434.9     210.2     202.5
----------------------------------------------------------------------------

                                                                            
                                                                            
                ------------------------------------------------------------
                                      NATURAL GAS                           
                                        LIQUIDS          TOTAL      TOTAL   
RESERVES                           Gross     Net (i)     Gross     Net (i)  
 CATEGORY                          (MBbl)     (MBbl)     (MBOE)     (MBOE)  
----------------------------------------------------------------------------
PROVED                                                                      
 Producing                                -          -      444.7      429.4
 Non-producing                            -          -       37.6       36.5
 Undeveloped                              -          -      289.9      284.0
----------------------------------------------------------------------------
TOTAL PROVED                              -          -      772.2      749.9
                                                                            
PROBABLE                                  -          -      747.8      723.5
----------------------------------------------------------------------------
                                                                            
TOTAL PROVED                                                                
 PLUS PROBABLE                            -          -    1,520.0    1,473.4
----------------------------------------------------------------------------

(i) Net is the Corporation's working interest (operating and non-operating) share after deduction of royalty obligations, plus the Corporation's royalty interests in production or reserves.


                            NET PRESENT VALUES OF FUTURE NET REVENUE       
                    -------------------------------------------------------
                                      BEFORE INCOME TAXES                  
                                   DISCOUNTED AT (% per year)              
                         0          5          10         15         20    
RESERVES CATEGORY      (MM$)      (MM$)      (MM$)      (MM$)      (MM$)   
---------------------------------------------------------------------------
PROVED                                                                     
 Producing                12.95      11.81      10.82       9.97       9.25
 Non-producing             0.70       0.63       0.57       0.51       0.47
 Undeveloped               5.70       4.65       3.80       3.09       2.52
---------------------------------------------------------------------------
TOTAL PROVED              19.35      17.09      15.19      13.57      12.24
                                                                           
PROBABLE                  22.59      17.50      13.86      11.23       9.27
---------------------------------------------------------------------------
                                                                           
                                                                           
TOTAL PROVED PLUS                                                          
 PROBABLE                 41.94      34.59      29.05      24.80      21.51
---------------------------------------------------------------------------
                                                                           

                            NET PRESENT VALUES OF FUTURE NET REVENUE        
                    --------------------------------------------------------
                                        AFTER INCOME TAXES                  
                                    DISCOUNTED AT (% per year)              
                          0          5          10         15         20    
RESERVES CATEGORY       (MM$)      (MM$)      (MM$)      (MM$)      (MM$)   
----------------------------------------------------------------------------
PROVED                                                                      
 Producing                 12.73      11.59      10.59       9.74       9.03
 Non-producing              0.48       0.44       0.40       0.36       0.32
 Undeveloped                4.10       3.26       2.59       2.05       1.61
----------------------------------------------------------------------------
TOTAL PROVED               17.31      15.29      13.58      12.15      10.96
                                                                            
PROBABLE                   16.91      12.87      10.01       7.96       6.45
----------------------------------------------------------------------------
                                                                            
                                                                            
TOTAL PROVED PLUS                                                           
 PROBABLE                  34.22      28.16      23.59      20.11      17.41
----------------------------------------------------------------------------
                                                                            
                                                                            
Pricing Used in Evaluation                                                  
                                                                            
                SUMMARY OF PRICING AND INFLATION RATE ASSUMPTIONS           
                             AS OF DECEMBER 31, 2012                        
                            FORECAST PRICES AND COSTS                       
                                                                            
                                      OIL                   NATURAL GAS     
                       -----------------------------------------------------
                              WTI   Edmonton  Bow River                     
                          Cushing      Light   Hardisty       AECO     NYMEX
     Inflation Exchange  Oklahoma  Par Price  Par Price  Gas Price Gas Price
YEAR      Rate     Rate ($US/bbl) ($Cdn/bbl) ($Cdn/bbl) ($Cdn/Mcf) ($US/Mcf)
----------------------------------------------------------------------------
2013      2.0%    1.000     92.50      87.50      75.30       3.35      3.75
2014      2.0%    1.000     92.50      90.50      77.80       3.85      4.30
2015      2.0%    1.000     93.60      92.60      79.60       4.35      4.85
2016      2.0%    1.000     95.50      94.50      81.30       4.70      5.25
2017      2.0%    1.000     97.40      96.40      82.90       5.10      5.70
2018      2.0%    1.000     99.40      98.30      84.50       5.45      6.10
2019      2.0%    1.000    101.40     100.30      86.30       5.55      6.20
2020      2.0%    1.000    103.40     102.30      88.00       5.70      6.35
2021      2.0%    1.000    105.40     104.30      89.70       5.80      6.45
2022      2.0%    1.000    107.60     106.50      91.60       5.90      6.60
2023      2.0%    1.000    109.70     108.50      93.30       6.00      6.70
2024      2.0%    1.000    111.90     110.70      95.20       6.15      6.85
2025      2.0%    1.000    114.10     112.90      97.10       6.25      7.00
2026      2.0%    1.000    116.40     115.20      99.10       6.35      7.10
2027      2.0%    1.000    118.80     117.50     101.10       6.50      7.25
After   +2%/yr   +2%/yr    +2%/yr     +2%/yr     +2%/yr     +2%/yr    +2%/yr
----------------------------------------------------------------------------

Detailed reserve information is contained in the Company's Statement of Reserves Data and Other Oil and Gas Information which will be available on the Company's SEDAR profile at www.sedar.com .

It should not be assumed that the estimates of future net revenue presented above represent the fair market value of the reserves. There is no assurance that the forecast prices and costs assumptions will be attained and variances could be material.

Please refer to Tuscany's website at www.tuscanyenergy.com for more information on the Company's Evesham and Macklin fields and other prospects in Alberta and Saskatchewan.

ADVISORY: This news release contains certain forward-looking information and statements within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward-looking information or statements. In particular, but without limiting the forgoing, this news release contains forward-looking information and statements pertaining to the following: the volumes and estimated net present value of Tuscany's oil and gas reserves; and Tuscany's drilling plans.

The estimates of Tuscany's reserves and the net present value of the future net revenue attributable thereto provided herein are estimates only and there is no guarantee that the estimated reserves will be recovered or that the forecast prices and costs assumptions such estimates are based upon will be attained. In addition, forward-looking statements or information are based on a number of material factors, expectations or assumptions of Tuscany which have been used to develop such statements and information but which may prove to be incorrect. Although Tuscany believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward- looking statements because Tuscany can give no assurance that such expectations will prove to be correct. In addition to other factors and assumptions which may be identified herein, assumptions have been made regarding, among other things: that Tuscany will continue to conduct its operations in a manner consistent with past operations; results from drilling and development activities; the continued and timely development of infrastructure in areas of new production; the accuracy of the estimates of Tuscany's reserve volumes; continued availability of debt and equity financing and cash flow to fund Tuscany's current and future plans and expenditures; the impact of increasing competition; the general stability of the economic and political environment in which Tuscany operates; the general continuance of current industry conditions; the timely receipt of any required regulatory approvals; the ability of Tuscany to obtain qualified staff, equipment and services in a timely and cost efficient manner; drilling results; the ability of the operator of the projects in which Tuscany has an interest in to operate the field in a safe, efficient and effective manner; the ability of Tuscany to obtain financing on acceptable terms; future commodity prices; currency, exchange and interest rates; regulatory framework regarding royalties, taxes and environmental matters in the jurisdictions in which Tuscany operates; and the ability of Tuscany to successfully market its oil and natural gas products.

The forward-looking information and statements included in this news release are not guarantees of future performance and should not be unduly relied upon. Such information and statement, including the assumptions made in respect thereof, involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information or statements including, without limitation: changes in commodity prices; changes in the demand for or supply of Tuscany's products; unanticipated operating results or production declines; changes in tax or environmental laws, royalty rates or other regulatory matters; changes in development plans of Tuscany or by third party operators of Tuscany's properties, increased debt levels or debt service requirements; inaccurate estimation of Tuscany's oil and gas reserve volumes; limited, unfavourable or a lack of access to capital markets; increased costs; a lack of adequate insurance coverage; the impact of competitors; and certain other risks detailed from time-to-time in Tuscany's public disclosure documents, (including, without limitation, those risks identified in this news release). Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

Where amounts are expressed on a barrel of oil equivalent (BOE) basis, natural gas volumes have been converted to barrels of oil on the basis of six thousand cubic feet (mcf) per barrel (bbl). BOE figures may be misleading, particularly if used in isolation. A BOE conversion of six thousand cubic feet per barrel is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different from the energy equivalency of 6 mcf: 1 bbl, using a conversion on a 6 mcf: 1 bbl basis may be misleading as an indication of value. References to oil in this discussion include crude oil and natural gas liquids (NGLs).

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contacts:
Tuscany Energy Ltd.
Robert W. Lamond
President & CEO
(403) 269-9889
(403) 269-9890 (FAX)

Tuscany Energy Ltd.
Donald K. Clark
Vice President Operations
(403) 269-9889
(403) 269-9890 (FAX)
www.tuscanyenergy.com

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