No amount of exercise will turn fat into muscle. 

I remember in high school that guys and my football coaches used this statement.  Even in the late 70s and 80s, we knew that this statement was utterly malarkey.  This statement is almost as fictitious as the alchemist turning lead into gold.  

I know this is a technicality.  The facts are the facts.  Fat is fat, and muscle is muscle.  They are entirely different cells, and no matter how much you exercise, you will have fat cells.  You burn fat and build muscle, but you cannot transform one into the other. 

The Bottom Line: Exercise will reduce fat storage if your calorie intake is less than your calorie requirements to function.  Yes, you heard that right.  You can reduce your fat stores, but you will retain the fat cells with less fat stored in them.  One can gain or lose muscle or fat, but one can never turn one into the other.