Mr. Gordon Reese reports

INVICTA ENERGY CORP. ANNOUNCES FINANCIAL AND OPERATING RESULTS FOR THE SECOND QUARTER OF 2012

Invicta Energy Corp. has released its financial and operating results for the three and six months ended June 30, 2012. Invicta's interim condensed financial statements and related management's discussion and analysis for three months and six months ended June 30, 2012, have been filed and are available on SEDAR and may also be obtained on Invicta's website.

Highlights

• Drilled six gross (3.3 net) horizontal oil wells at Kindersley, Sask.; two wells brought on production by end of quarter and the other four wells producing by the third week of July, 2012;
• Production results from the six-well drilling program at Kindersley once again exceeding expected Viking-type curves;
• 133-per-cent increase in net light oil production year to date from 150 barrels per day (bbl/d), (the initial rate of 2012) to 350 bbl/d (current field estimate); oil production at 85 per cent of total corporate production and 96 per cent of corporate revenue;
• Achieved operating costs for the quarter of $8.76 per barrel of oil equivalent (boe) (11-per-cent decrease from first quarter 2012 and 64-per-cent decrease from second quarter 2011);
• Operating netback continuing to be top quartile at $57.75 per boe and $56.08 per boe for three months and six months ended June 30, 2012, respectively;
• Achieved funds flow from operations of $972,138 (one cent per share) and earnings of $159,353 (nil per share) for the quarter;
• Credit facility raised $3-million to $13-million Aug. 15, 2012, based on the recent successful drilling program;
• Prepared for drilling a further eight gross (4.4 net) horizontal wells at Kindersley during the remaining six months of 2012.

                                     HIGHLIGHTS            
                                                 Three months ended          Six months ended  
                                                           June 30,                  June 30,
                                                    2012       2011        2012          2011
Operations
Drilling
Oil wells (net)                                 6.0 (3.3)  4.0 (2.2)  11.0 (6.0)     5.0 (2.8)
Undeveloped landholdings (net acres)              48,260     29,870      48,260        29,870
Average daily production
Crude oil (bbl/d)                                    217         46         219            48
Natural gas (mcf/d)                                  331        264         391           311
Total equivalent (boe/d)                             272         90         285           100
Average product prices
Crude oil (Cdn $/bbl)                             $81.52     $94.85      $84.37        $90.70
Natural gas (Cdn $/mcf)                             1.73       3.74        1.86          3.71
Total equivalent (Cdn $/boe)                       67.13      59.54       67.63         55.11
Royalties (Cdn $/boe)                               0.62       8.27        2.21          7.44
Production and operating costs (Cdn $/boe)          8.76      24.54        9.34         17.31
Operating netback (Cdn $/boe)                      57.75      26.73       56.08         30.36
Financial
Petroleum and natural gas revenue              1,664,316    489,673   3,487,099       995,850
Funds flow from operations (loss)                972,138   (252,202)  1,946,115      (528,324)
Per share -- basic and diluted (loss)               0.01      (0.01)       0.03         (0.01)
Earnings (loss)                                  159,353   (346,624)    339,703      (843,984)
Per share -- basic and diluted (loss)               0.00      (0.01)       0.00         (0.02)
Capital expenditures                           2,734,731  2,879,473   5,817,685     3,672,081
Net debt (working capital) (loss)              6,974,403   (476,891)  6,974,403      (476,891)

Operations update

Kindersley, Sask.

During the second quarter, the company completed its six-well drilling program at a 100-per-cent success rate. This program was hampered by wet spring conditions which delayed the timing and subsequent production start-up of these wells. However, the company is pleased to report that the initial production rates of the six wells have exceeded the forecasted Viking-type curves. Five of the six wells have 30-day production rates ranging from 50 to 90 bbl/d. One well is still producing at 80 bbl/d after 70 days. All six wells are flowlined into existing company infrastructure which allows conservation of the solution gas. Current net field production from the Kindersley property is 340 bbl/d and 350,000 cubic feet per day of solution gas.

Invicta acquired a section of petroleum and natural gas rights in the second quarter. At quarter-end the company's drilling inventory is in excess of 200 locations. The company is preparing locations for the upcoming drilling programs with an expectation of drilling another eight gross (4.3 net) wells by year-end.

Central Alberta

The company completed a 21-square-kilometre 3-D program over one of its central Alberta properties. The 3-D program is currently being interpreted for horizontally drillable locations for light oil. Nine additional sections of petroleum and natural gas rights, prospective for Viking and Mannville light oil, were acquired subsequent to the second quarter. The company looks forward to initiating drilling activity on the Alberta prospects in early 2013.

Guidance

The company has successfully completed two drilling programs at Kindersley to date and looks forward to drilling the remaining eight gross (4.3 net) wells of the forecasted 20 gross (11 net) well program for 2012. The capital expenditures for the year remain forecasted at $14-million.

The company is very pleased with its financial results to date, especially its top-quartile netback of $56.08 year to date. Invicta is on track to achieving the previously forecasted $6.4-million funds flow (nine cents per share) and annualized fourth quarter funds flow of $10-million (13 cents share). Volatility in realized oil prices and delays in bringing on the wells drilled in the second quarter were offset by lower operating costs and royalty rates. The company's exit oil production remains at 535 bbl/d. The exit production will be 625 to 675 boe/d, approximately 7 per cent lower than the previously forecasted 675 to 725 boe/d as the company has reduced the forecast for solution gas to reflect curtailments at third party processing facilities. It is important to note that solution gas volumes have a large impact on the boe measure, but very little impact on financial results as oil production accounts for 96 per cent of oil and natural gas revenues.

Outlook

Invicta is positioned for growth with top-quartile operating netbacks and a drilling inventory in excess of 200 development locations on its low-risk light oil resource play at Kindersley. The company continues to work on a number of light oil prospects in central Alberta and looks forward to drilling and developing its next core area in 2013.

We seek Safe Harbor.