TUSCANY ENERGY LTD.
TSX VENTURE : TUS

TUSCANY ENERGY LTD.

September 23, 2005 12:00 ET

Tuscany Announces Saskatchewan Asset Acquisition

CALGARY, ALBERTA--(CCNMatthews - Sept. 23, 2005) - Tuscany Energy Ltd. (TSX VENTURE:TUS) is pleased to announce that it has entered into a non-binding, arm's length, Letter of Intent to acquire all of the assets of a private oil and gas company for $5.97 million. Assets being acquired are located in southwest Saskatchewan. The purchase price will be satisfied with cash of $4,980,000 and the issuance of 2,200,000 Tuscany Common Shares priced at $0.45 per share. The acquisition has an effective date of August 1, 2005 with closing expected by October 31, 2005.

Tuscany intends to finance the cash portion of the acquisition through current working capital and bank financing, to the extent available, in conjunction with interim financing through its major shareholder, Humboldt Capital Corporation. There is no finder's fee related to this transaction. The transaction is subject to a number of conditions including regulatory and Board of Directors approval.

Forward-looking statements - statements included in this press release that are not historical facts may be considered "forward-looking statements." All estimates and statements that describe the Company's objectives, goals or future plans are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties where actual results could differ materially from those currently anticipated.

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)
    or
    TUSCANY ENERGY LTD.
    Robert W. Lamond
    Chairman
    (403) 269-9889
    (403) 269-9890 (FAX)