North Sea Energy Announces Third Quarter 2012 Results

North Sea Energy Inc. ("NSE" or the "Company") (TSX VENTURE:NUK) announces its
unaudited financial results for the period ended September 30, 2012. The summary
of the selected financial information should be read in conjunction with the
Company's Condensed Interim Consolidated Financial Statements (Unaudited) and
the related Management Discussion and Analysis for the quarter ended September
30, 2012 dated November 22, 2012, which have been filed on SEDAR
(www.sedar.com).


Highlights & Recent Events



--  27th UKCS Licensing round results: 3 new blocks awarded (Block(s)
    14/29b, 13/23 and 13/24c) 
    
--  First tranche of $3,800,000 of convertible debenture financing closed on
    November 22, 2012 in a non-brokered private placement of up to
    $10,000,000 of convertible debentures 
    
--  2D High resolution seismic program completed on Norfolk Prospect
    (Block(s) 12/16b, 12/17b) 
    
--  Independent Economic Evaluation completed on 3 prospects 
    
--  Premier Oil exercised its option right for 50% of Badger, licence P.1920
    
--  Cash on hand $3,115,031 (December 31, 2011, $5,389,699) 
    
--  Working capital $1,532,114 (December 31, 2011, $3,833,599)



Significant developments 

Independent Economic Evaluation Complete on 3 Prospects 

On September 5, 2012, the Company announced the results of an Independent
Economic Evaluation ("IEE") for three of its UK North Sea blocks. These include
its 50% owned Badger prospect (block 12/30), its 50% owned Bobcat prospect
(block 13/28b) and its 20% owned Norfolk prospect (blocks 12/16b and 12/17b),
all located in the UK North Sea. The IEE has been completed by Acquidis Limited
("Acquidis"), a UK based consulting firm utilizing the resource and geologic
information developed by Sproule International Limited ("Sproule") and Senergy
(GB) Ltd. ("Senergy"). For more information, refer to NSE's press release dated
September 5, 2012.


Subsequent events 

Badger Prospect 

October 5, 2012, the Company announced that its wholly owned subsidiary, Echo
Exploration Limited, was awarded UK Licence P1920, as part of the 26th licensing
round. This licence covers UKCS Block 12/30 and contains the Badger Prospect. 


In addition, Premier Oil has exercised its option right to require transfer of a
50% interest in UKCS Block 12/30 pursuant to an April 28, 2010 Agreement between
Encore Oil and Echo Exploration Limited. This transfer is subject to the consent
of the Department of Energy and Climate Change. Premier completed the
acquisition of Encore on January 16, 2012.


27th Seaward Licensing Round 

On October 26, 2012, the Company announced that the UK Department of Energy and
Climate Change (DECC) has published the initial tranche of offers for licences
in the 27th Seaward Licensing Round in the UK North Sea. NSE, together with its
partner, EnCounter Oil Limited ("EnCounter Oil"), has been offered two new
promote licences in the UK North Sea in the 27th Seaward Licensing Round, namely
- blocks 13/24c and 13/25 (NSE - 40% interest), and block 14/29b (NSE - 40%
interest). NSE holds its interest in these prospects through its wholly-owned
subsidiary, North Sea Energy (UK No2) Limited. 


EnCounter Oil is a new exploration company set up by the former senior
exploration team of EnCore Oil plc. This team was involved in discovering the
Buzzard Oil field and Catcher Oil discovery.


2D High Resolution Seismic on Norfolk 

On November 19, 2012, the Company announced that a 2D hi-resolution seismic
program on the Norfolk Prospect (block 12/16b) (20% NSE interest) has been
completed after receiving approval from DECC (UK Department of Energy and
Climate Change). 


The weather during November has been kind and allowed the Company to acquire
more data than the base plan. This will allow the Company to test 3D migrating
the data and/or creating a Geocube product. 


The processing of the additional seismic will enhance the Company's
understanding of the prospect in terms of the 'up dip' extent of the Norfolk
prospect and assist in the determination of the drilling target. The acquiring
of the seismic data during 2012 allows the Company to progress its evaluation of
the prospect and to make a drilling decision sooner and without delay to the
project.


Private Placement 

On November 22, 2012, the Company announced that it has closed the first tranche
of a non-brokered private placement (the "Private Placement") of unsecured
convertible debentures (the "Debentures") for gross proceeds of $3,800,000. If
there is additional interest, a second and final tranche of the private
placement will close on or before December 17, 2012 (or there about) for gross
proceeds up to $10,000,000. 


The subscription price per Debenture is $1,000. Interest on the Debentures is
7.75%, payable semi-annually, for a term of five years from the issue date. The
Debentures are convertible into common shares of the Company (the "Common
Shares") at the holder's option at any time after four months from the date of
issuance at a price of $0.45 per Common Share (the "Conversion Price") and upon
20 business days' notice to the Company. The Company may elect to convert the
Debentures on each anniversary date of the date of issuance of the Debentures at
the Conversion Price. The Company shall have the right at any time after
December 1, 2015 to repay all or a portion of the Debentures without the consent
of the holders, subject to the right of the holders to convert prior to such
prepayment. The Debentures will be subject to a hold period expiring on March
23, 2013. 


The Company will pay a finder's fee equal to 5% of the gross proceeds of the
Private Placement. 


The proceeds of the Private Placement will be used to fund the Company's
exploration and development program in the North Sea and for general working
capital purposes. 


The Private Placement is subject to final approval by the TSX Venture Exchange
and any other applicable securities legislation.


About North Sea Energy Inc. 

NSE (TSX VENTURE:NUK) is a UK-focused oil and gas exploration and production
("E&P") company listed on the TSX Venture Exchange. NSE is producing light oil
from the Jacky field, located in the Inner Moray Firth off the Scottish coast
and has acquired an interest in twelve blocks in the North Sea. 


Forward-looking statements 

Except for statements of historical fact, this news release contains certain
"forward-looking information" within the meaning of applicable securities law.
Forward-looking information is frequently characterized by words such as "plan",
"expect", "project", "intend", "believe", "anticipate", "estimate" and other
similar words, or statements that certain events or conditions "may" or "will"
occur.. Although we believe that the expectations reflected in the
forward-looking information are reasonable, there can be no assurance that such
expectations will prove to be correct. We cannot guarantee future results,
performance or achievements. Consequently, there is no representation that the
actual results achieved will be the same, in whole or in part, as those set out
in the forward-looking information. Forward-looking information is based on the
opinions and estimates of management at the date the statements are made, and
are subject to a variety of risks and uncertainties and other factors that could
cause actual events or results to differ materially from those anticipated in
the forward-looking information. 


FOR FURTHER INFORMATION PLEASE CONTACT: 
North Sea Energy Inc.
J. Craig Anderson
CEO
416-366-4700
[e-mail]
www.northseaenergy.ca


Auburn Partners Inc.
Investor Relations
647-430-8760
[e-mail]
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