Not 100% sure on how much you are exercising, but are you sure 1200 calories is enough for you?
If you are finding that your body is actually storing
fat, it could be that you aren't getting enough in your diet, and you body has actually decided to store this (it's a natural body reaction to store fat as a reserve if there isn't enough in your natural diet).
Keep talking to people and getting advice, but I would probably analyse your diet to ensure you are getting the proper proportion of fats, protien, and carbs.
Also, highly active people actually need to eat a bit more food to ensure their muscles are recovering properly (along with proper
rest of course)...which in turn can help you develop more lean muscle mass and improve your metabolism.
Good Luck!
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