Torquay Announces 2012 Budget and Closing of Employee Private Placement

Torquay Oil Corp. (TSX VENTURE:TOC.A) (TSX VENTURE:TOC.B) ("Torquay" or the
"Company") is pleased to announce that its board of directors has approved a
2012 capital budget of approximately $10 million which will be focused on
further development of the Company's successful light oil drilling program in
the Queensdale and Midale areas of southeast Saskatchewan and the further
delineation of its Bakken play at Lake Alma, Saskatchewan. Torquay is currently
producing approximately 605 boe/day (97% light oil).  


In addition, Torquay announces that it has completed its previously announced
non-brokered private placement to Phil Besler, the Company's Vice President,
Operations of 100,000 Class A Shares at a price of $0.27 per share for gross
proceeds of $27,000.00, to be used for general corporate purposes. The Class A
Shares issued under the private placement are subject to a hold period expiring
July 2, 2012. The private placement remains subject to final approval of the TSX
Venture Exchange. 


Mr. Besler has also been granted 80,000 stock options pursuant to the Company's
incentive stock option plan at an exercise price of $0.33 per share. The options
will vest in equal tranches over three years and will expire after five years.


Torquay is a uniquely positioned, oil focused, junior exploration company formed
to generate and develop its own prospects, acquire oil-weighted properties and
participate with joint venture partners in oil exploration and development in
the Western Canadian Sedimentary Basin. The Company's Class A Shares and Class B
Shares trade on the Exchange under the symbols TOC.A and TOC.B, respectively. 


Advisory

This news release contains forward-looking statements and forward-looking
information (collectively "forward looking information") within the meaning of
applicable securities laws. Forward-looking information typically use words such
as "anticipate", "believe", "project", "expect", "plan", "intend" or similar
words suggesting future outcomes, statements that actions, events or conditions
"may", "would", "could" or "will" be taken or occur in the future. In
particular, forward looking information in this news release includes, but is
not limited to: statements with respect to the expected focus of the Company's
capital budget and future capital expenditures, anticipated production rates,
expected results from operations and the anticipated use of proceeds from the
private placement. The forward-looking information is based on certain key
expectations and assumptions made by Torquay, including expectations and
assumptions concerning prevailing commodity prices, exchange rates, interest
rates, applicable royalty rates and tax laws; future well production rates and
estimates of operating costs; reserve and resource volumes; expected results of
operating techniques; the state of the economy and the exploration and
production business; business prospects and opportunities; the availability and
cost of financing, labour and services; the impact of increasing competition;
ability to market oil and natural gas successfully and the ability of the
Company to access capital. Although Torquay believes that the expectations and
assumptions on which the forward-looking statements are based are reasonable,
undue reliance should not be placed on the forward-looking statements because
Torquay can give no assurance that they will prove to be correct. Since
forward-looking statements address future events and conditions, by their very
nature they involve inherent risks and uncertainties. Actual results could
differ materially from those currently anticipated due to a number of factors
and risks. These include, but are not limited to, results from operations will
not meet with expectations and risks associated with the oil and gas industry
generally. Additional information on the foregoing risks and other factors that
could affect Torquay' operations and financial results are included in Torquay's
annual information form and other reports on file with Canadian securities
regulatory authorities and may be accessed through the SEDAR website
(www.sedar.com). 


The forward-looking statements contained in this news release are made as of the
date hereof and Torquay undertakes no obligation to update publicly or revise
any forward-looking statements or information, whether as a result of new
information, future events or otherwise, unless so required by applicable
securities laws. The term "boe" may be misleading, particularly if used in
isolation. A boe conversion of 6 Mcf: 1 bbl is based on an energy equivalency
conversion method primarily applicable at the burner tip and does not
necessarily represent a value equivalency at the wellhead.