Ithaca Energy Regulatory News (ITH)

Press release

18 April 2023

Ithaca Energy plc ("Ithaca Energy" or the "Group")

Operational Update - The restart of operations have been completed at the Pierce Field in the UK North Sea after major redevelopment to enable gas production ("Pierce")

Ithaca Energy plc ("Ithaca Energy" or the "Group") and its partners today announced that the restart of operations have been completed at the Pierce field in the UK Central North Sea, following a significant upgrade to allow gas to be produced after years of the field producing only oil.

Pierce is a joint venture between Shell (Operator, 92.52%) and Ithaca Energy (UK) Limited (7.48%.)

Substantial modifications were made to the Haewene Brim floating production, storage and offloading vessel ("FPSO"), which is used to produce hydrocarbons at the Pierce field. A new subsea gas export line was also installed, connecting to the SEGAL pipeline system, which brings gas ashore at St Fergus, north of Aberdeen.

To enable the upgrade, the FPSO, which is owned and operated by Bluewater, stopped producing in October 2021. It then spent six months in dry dock where it was transformed into a vessel that could also produce gas, which had previously been re-injected into the reservoir.

Gross peak production is expected to reach 30,000 barrels of oil equivalent per day, which is more than twice the production prior to the redevelopment, with more gas being produced than oil. The gas will be sent through newly installed subsea pipelines and the oil will be transported by tanker, as was the case prior to the redevelopment project.

Alan Bruce, Chief Executive Officer, commented "We are delighted that operations have resumed at the Pierce field, with the redevelopment project highlighting Ithaca Energy's commitment to invest in the UK North Sea at a time where additional supply is critical to the UK's Energy Security Strategy".

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About Ithaca Energy plc

Ithaca Energy is a leading UK independent exploration and production company focused on the UK North Sea with a strong track record of material value creation. In recent years, the Company has been focused on growing its portfolio of assets through both organic investment programmes and acquisitions and has seen a period of significant M&A driven growth centred upon two transformational acquisitions in recent years. Today, Ithaca Energy is one of the largest independent oil and gas companies in the United Kingdom Continental Shelf (the "UKCS"), ranking second by resources.

With stakes in six of the ten largest fields in the UKCS and two of UKCS's largest pre-development fields, and with energy security currently being a key focus of the UK Government, the Group believes it can utilise its significant reserves and operational capabilities to play a key role in delivering security of domestic energy supply from the UKCS.

Ithaca Energy serves today's needs for domestic energy through operating sustainably. The Group achieves this by harnessing Ithaca Energy's deep operational expertise and innovative minds to collectively challenge the norm, continually seeking better ways to meet evolving demands.

Ithaca Energy's commitment to delivering attractive and sustainable returns is supported by a well-defined emissions-reduction strategy with a target of achieving net zero by 2040.

Ithaca Energy plc was admitted to trading on the London Stock Exchange (LON: ITH) on 14 November 2022.

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