September 28, 2007 14:04 ET

Tuscany Announces Planned $750,000 Financing

CALGARY, ALBERTA--(Marketwire - Sept. 28, 2007) - Tuscany Energy Ltd. (TSX VENTURE:TUS) announces that it plans to raise up to $750,000 by way of a non-brokered private placement which, if fully subscribed, will result in the issuance of up to 7,500,000 common shares on a flow through basis at a price of $0.10 per share.

All of the securities issued will be restricted from trading for a period of four months. The issue of the above securities is subject to all regulatory approvals including the approval of the TSX Venture Exchange. The offering is anticipated to be completed by October 19, 2007.

Humboldt Capital Corporation together with R.W. Lamond, Humboldt's control shareholder, own 27% of the outstanding common shares of Tuscany. Humboldt has agreed to purchase $400,000 of the common share offering. Commissions or finders fees may be paid on subscriptions other than Humboldt's, subject to prospectus and registration exemption restrictions.

Subsequent to the completion of the issuance of 7,500,000 common shares and assuming the entire issue is subscribed for, there will be 34,050,836 common shares issued and outstanding and 34,870,836 common shares outstanding on a fully diluted basis. Assuming an investment of $400,000, R.W. Lamond and Humboldt will own an aggregate of 11,085,000 common shares (33%) or 11,135,000 common shares (32%) on a fully diluted basis.

The net proceeds of the offering will be used in Tuscany's Canadian exploration and development program on expenditures which satisfy flow through requirements.

Tuscany is an emerging junior oil and gas company engaged in the acquisition, exploration and development of oil and natural gas reserves in western Canada.

Forward-looking statements - statements included in this press release that are not historical facts may be considered "forward-looking statements." Actual results could differ materially from the conclusions, forecasts or projections in the forward-looking information. Certain material factors and assumptions were applied in drawing the conclusions or making the forecasts or projection in the forward-looking information and the material factors or assumptions that were applied in drawing the conclusion or making the forecast or projection as reflected in the forward-looking information is contained in the press release.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Tuscany Energy Ltd.
    Greg T. Busby
    President & CEO
    (403) 264-2398
    (403) 264-2399 (FAX)
    Tuscany Energy Ltd.
    Robert W. Lamond
    (403) 269-9889
    (403) 269-9890 (FAX)