Mr. Joseph Durante reports

TOSCANA ENERGY INCOME CORPORATION ANNOUNCES $15.0 MILLION BOUGHT DEAL FINANCING AND $5.0 MILLION PRIVATE PLACEMENT FINANCING

Toscana Energy Income Corp. has entered into an agreement with a syndicate of underwriters led by National Bank Financial Inc., and including GMP Securities LP, Macquarie Capital Markets (Canada) Ltd. and Sprott Private Wealth LP, pursuant to which the underwriters have agreed to purchase, on a bought-deal basis, for resale, $15-million of total principal amount of 6.75-per-cent convertible unsecured subordinated debentures due June 30, 2018. The company has also granted the underwriters an option, exercisable in whole or in part, for a period of 30 days following the closing of the bought-deal offering, pursuant to which the underwriters may purchase up to an additional $2.25-million principal amount of convertible debentures on substantially the same terms as the bought-deal offering.

The company is also pleased to announce that it has agreed to a concurrent private placement of $5-million of total principal amount of convertible debentures to affiliates or designees of Sprott Inc. on the substantially the same terms as the bought-deal offering.

If the overallotment option is exercised in full, the gross proceeds from the bought-deal offering and the private placement offering will be $22.25-million.

The convertible debentures will bear interest from the date of issue at a rate of 6.75 per cent per year, payable semi-annually in arrears on June 30 and Dec. 31 of each year commencing Dec. 31, 2013. The convertible debentures will have a maturity date of June 30, 2018, and will be convertible at the holder's option into common shares of the company at a conversion price of $19.70 per common share, subject to adjustment in certain events. The convertible debentures will not be redeemable on or before June 30, 2016. After June 30, 2016, and prior to June 30, 2017, the convertible debentures will be redeemable at the company's option, in whole or in part, at par, plus accrued unpaid interest if the weighted average trading price of the common shares for the specified period exceeds 125 per cent of the conversion price. On and after June 30, 2017, the convertible debentures will be redeemable at the company's option, in whole or in part, at any time, at par, plus accrued and unpaid interest.

Toscana Energy will file a preliminary short form prospectus relating to the issuance of the convertible debentures pursuant to the bought-deal offering with securities commissions in each of the provinces of Canada other than Quebec. Both the bought-deal offering and the private placement offering are scheduled to close on or about June 11, 2013, and such closings are subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange.

Proceeds from the bought-deal offering and the private placement offering will be used for general corporate purposes and to reduce the amounts owing under the company's credit facility.

We seek Safe Harbor.