Re: Athena completions update

11 July 2011

Lochard Energy Group Plc

Re: Athena completions update

Lochard Energy Group Plc ("Lochard" or the "Company") (AIM: LHD, ASX: LHD) notes the announcement made on 11 July 2011 by Ithaca Energy Inc relating to the Athena project. Lochard has a net 10% interest in this field through its 100% ownership of Zeus Petroleum Limited.

"11 July 2011

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

Ithaca Energy Inc.

Development Project Updates

London, UK - Calgary, Canada, July 11, 2011 Ð Ithaca Energy Inc. (TSX Venture: IAE, LSE AIM: IAE) announces progress on Athena and Stella Development projects

Athena Project - Completions Update

Operations to prepare the Athena field development well 14/18b-A2Z (Òthe wellÓ or ÒA2Ó) for production have been successfully concluded. A 7Ó production liner and a dual electrical submersible pump system have been successfully installed above the horizontal section of the well and the subsea xmas tree and flowbase are ready for the hook-up of flowlines by the subsea installation contractor in September. The Sedco 704 drilling unit, will stay on location to undertake further completion work for the project and is currently preparing to complete 14/18b-16 (to be renamed 14/18b-A3 or ÒA3Ó). This is the second of a five well programme of completions (four production and one water injection) to be carried out before hook-up to the Floating Production Storage and Offloading vessel, ÔBW AthenaÕ which is scheduled to sail to the Athena location by the end of Q3 2011.

Athena Joint Venture Partners are Ithaca (operator, 22.5%), Dyas UK Ltd (47.5%), EWE Aktiengesellschaft (20%) and Zeus Petroleum Limited (10%).

Stella Project - Subsea Trees and Control Systems Contract Awarded

The development of the Stella field has moved a step forward through the placement of a contract with GE Oil & Gas to manufacture and supply subsea trees and controls systems. The initial phase of detailed engineering work has commenced and will focus on the procurement of forgings and materials for the systems. The systems will be delivered as an integrated package and are designed for installation using a heavy duty jackup drilling unit. The supply of the trees and control systems will be managed and delivered from GE Oil & GasÕs Aberdeen facility.

The Company also confirms that a geotechnical programme is currently ongoing to determine the suitability of certain jackup drilling units at four potential development drilling locations on the Stella and Harrier fields and incorporating test boreholes in advance of the planned Hurricane appraisal well. Two drill centres will be selected.

Stella Joint Venture Partners are Ithaca (operator, 50.33%), Dyas UK Limited (31.67%), Challenger Minerals (North Sea) Limited (18%)."

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