Gasco Energy, Inc.(fka GSXN)

[Timothy Smith]

Would be an interesting acquisition to pick up their assets through reorganization.

Full-Year Period 2012

Oil and gas sales for the year-ended December 31, 2012 were $8.9 million, as compared to $18.3 million for the same period in 2011. The decrease in oil and gas sales during the 2012 full-year reporting period, as compared to the prior-year period, is primarily attributed to the Uinta Basin transaction and to a 33% decrease in the average price received for natural gas sales.

The average prices received for 2012 were $2.82 per Mcf and $81.38 per barrel of oil, as compared to $4.20 per Mcf and $80.75 per barrel in the same period in 2011.

For 2012, Gasco reported a net loss of $22.2 million, or $0.13 per basic and diluted share, as compared to a net loss of $7.3 million, or $0.05 per basic and diluted share in 2011. Included in the 2012 results are a non-cash gain on sale of assets of $2.6 million, a non-cash gain of $3.7 million attributed to derivatives and a $16.5 million non-cash expense item related to an impairment of the carrying value of oil and gas properties.

Excluding the effect of the above-stated non-cash items, Gasco would have posted a net loss of $12.0 million, or $0.07 per basic and diluted share for 2012. Net loss excluding the effect of non-cash items is a non-GAAP financial measure. Please see the reconciliation of net loss excluding the effect of non-cash items to the most directly comparable GAAP measures at the end of this news release.

Net cash used in operating activities for 2012 was $3.7 million as compared to net cash used in operating activities of $0.4 million for the same period in 2011. The Company invested approximately $5.8 million during 2012 in oil and gas activities. Net cash provided by investing activities during 2012 included $19.2 million in cash proceeds from the sale of certain of the Company's Uinta Basin assets as part of the Uinta Basin transaction. Net cash used in financing activities was $8.5 million in 2012, as compared to net cash provided by financing activities of $10.2 million during the prior-year period.