Exploration Well Result

Not for Distribution to U.S. Newswire Services or for Dissemination in the United States

Ithaca Energy Inc.

Storbarden Exploration Well Result

29 April 2013

Ithaca Energy Inc. (TSX: IAE, LSE AIM: IAE) announces that the Storbarden exploration well on PL 506S in Norway has not encountered hydrocarbons and the well is to be plugged and abandoned. The costs of this and the other committed exploration and appraisal wells transferred to Ithaca as a result of the acquisition of Valiant Petroleum plc ("Valiant") were accounted for in the price paid for the company, with no success assumed.

The Company notes the following announcement made by Rocksource ASA, the operator of the Storbarden well:

"Rocksource ASA ("Rocksource") announces that the drilling rig "Borgland Dolphin" has completed drilling of the main reservoir and the secondary target at the high risk Storbarden prospect in PL 506S in the North Sea. The well has not encountered hydrocarbons. Final data acquisition and analysis is currently on-going after which the well will be plugged and abandoned.

A final press release will be provided by the Norwegian Petroleum Directorate upon completion of the well operations.

Rocksource is the operator of the PL 506S licence with a 25 per cent working interest. The partners in PL 506S are Petoro (20 per cent), Petrolia (30 per cent) and Valiant (25 per cent)."

Enquiries:

Ithaca Energy:

Graham Forbes, CFO [email protected] +44 (0) 1224 652 151

Nick Muir, CTO [email protected] +44 (0) 1224 650 267

FTI Consulting:

Billy Clegg [email protected] +44 (0) 207 269 7157

Edward Westropp [email protected] +44 (0) 207 269 7230

Georgia Mann [email protected] +44 (0) 207 269 7212

Cenkos Securities plc:

Jon Fitzpatrick [email protected] +44 (0) 207 397 8900

Neil McDonald [email protected] +44 (0) 131 220 6939

RBC Capital Markets:

Tim Chapman [email protected] +44 (0) 207 653 4641

Matthew Coakes [email protected] +44 (0) 207 653 4871

Notes to oil and gas disclosure:

In accordance with AIM Guidelines, John Horsburgh, BSc (Hons) Geophysics (Edinburgh), MSc Petroleum Geology (Aberdeen) and Subsurface Manager at Ithaca is the qualified person that has reviewed the technical information contained in this press release. Mr Horsburgh has over 15 years operating experience in the upstream oil and gas industry.

About Ithaca Energy:

Ithaca Energy Inc. (TSX: IAE, LSE AIM: IAE) ("Ithaca" or "the Company"),is an oil and gas operator focused on North Sea production, appraisal and development activities. The Company's strategy is centred on building a highly profitable North Sea oil and gas company by maximising production and cashflow from its existing assets, the appraisal and development of existing discoveries on properties held by the Company and the delivery of additional growth via acquisitions and licence round participation.

Not for Distribution to U.S. Newswire Services or for Dissemination in the United States

Forward-looking statements

Some of the statements in this announcement are forward-looking. Forward-looking statements include statements regarding the intent, belief and current expectations of Ithaca Energy Inc. or its officers with respect to various matters. When used in this announcement, the words "anticipate", "continue", "estimate", "expect", "may", "will", "project", "plan", "should", "believe", "could", "target" and similar expressions, and the negatives thereof., whether used in connection with operational activities, potential developments or otherwise, are intended to identify forward-looking statements. Such statements are not promises or guarantees, and are subject to known and unknown risks and uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements or information. These forward-looking statements speak only as of the date of this announcement. Ithaca Energy Inc. expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement contained herein to reflect any change in its expectations with regard thereto or any change in events, conditions or circumstances on which any forward-looking statement is based except as required by applicable securities laws.

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