IAE.L Regulatory News (IAE)

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Ithaca Energy Inc.

Lupus Well Result

21 July 2014

Ithaca Energy Inc. (TSX: IAE, LSE AIM: IAE) ("Ithaca" or the "Company") announces that the Tullow Oil Norge AS ("Tullow") operated exploration well 31/10-1 on the "Lupus" prospect in licence PL507 in the Norwegian North Sea did not encounter hydrocarbons.

Tullow is currently finishing drilling of exploration well 31/10-1. The well is located approximately 35 kilometres southeast of the Oseberg Sør Field in the North Sea.

The primary objective of the well was to prove up hydrocarbons in the Paleocene Hermod Formation in a stratigraphic trap. A secondary target was to test for reservoir quality sandstones in the Paleocene Ty Formation of the Rogaland Group.

The well identified good quality reservoir sandstone in the Hermod Formation, but no sandstone was observed in the Ty Formation. No hydrocarbons were encountered by the well and it is now being plugged and abandoned.

The well was drilled to a total depth of 2,357 metres by the semi-submersible Borgland Dolphin rig in a water depth of 121 metres.

The partners in licence PL507 are Tullow (60%, Operator), Explora Petroleum (20%), Ithaca Energy (10%) and North Energy (10%).

- ENDS -

Enquiries:

Ithaca Energy

Les Thomas lthomas@ithacaenergy.com +44 (0)1224 650 261

Nick Muir nmuir@ithacaenergy.com +44 (0)1224 650 267

FTI Consulting

Edward Westropp edward.westropp@fticonsulting.com +44 (0)203 727 1521

Shannon Brushe shannon.brushe@fticonsulting.com +44 (0)203 727 1077

Cenkos Securities

Neil McDonald nmcdonald@cenkos.com +44 (0)131 220 6939

Beth McKiernan bmckiernan@cenkos.com +44 (0)131 220 9778

RBC Capital Markets

Tim Chapman tim.chapman@rbccm.com +44 (0)207 653 4641

Matthew Coakes matthew.coakes@rbccm.com +44 (0)207 653 4871

About Ithaca Energy

Ithaca Energy Inc. (TSX: IAE, LSE AIM: IAE) is a North Sea oil and gas operator focused on the delivery of lower risk growth through the appraisal and development of UK undeveloped discoveries, the exploitation of its existing UK producing asset portfolio and a Norwegian exploration and appraisal business targeting the generation of discoveries capable of monetisation prior to development. Ithaca's strategy is centred on generating sustainable long term shareholder value by building a highly profitable 25kboe/d North Sea oil and gas company. For further information please consult the Company's website www.ithacaenergy.com.

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