Iona Energy Inc.
TSX VENTURE : INA

April 05, 2012 15:54 ET

Iona Energy Announces Credit Approval for Corporate Senior Secured Reserve Based Lending Facility of USD$130 Million

CALGARY, ALBERTA--(Marketwire - April 5, 2012) -

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Iona Energy Inc. ("Iona" or the "Company") (TSX VENTURE:INA) is pleased to announce that it has now obtained final credit approval from a syndicate of lenders for the purposes of providing its previously announced USD$130 million secured reserve based credit facility (the "Credit Facility"). The syndicate is comprised of Lloyds Banking Group, Royal Bank of Scotland PLC, Credit Suisse AG and a U.S. bank. The Credit Facility is subject to ongoing and customary due diligence as well as completion of definitive agreements.

Further details with respect to the Credit Facility are set forth in the Company's short form prospectus dated March 8, 2012 available on SEDAR at www.sedar.com. Having satisfied the final condition to closing its Common Share financing, the Company expects to proceed to close the Offering.

About Iona Energy:

Iona Energy Inc. and its wholly owned subsidiary Iona Energy Company (UK) Limited (collectively, "Iona" or the "Company"), is an oil and gas exploration, development and production company focused on oil and gas development and exploration in the United Kingdom's North Sea.

Forward-looking statements

Some of the statements in this announcement are forward-looking, including statements regarding anticipated credit facility terms and timing. Forward-looking statements include statements regarding the intent, belief and current expectations of Iona Energy Inc. or its officers with respect to various matters. When used in this announcement, the words "expects," "believes," "anticipate," "plans," "may," "will," "should", "scheduled", "targeted", "estimated" and similar expressions, and the negatives thereof, are intended to identify forward-looking statements. Such statements are not promises or guarantees, are based on various assumptions by Iona's management, including assumptions regarding current credit market and global economic conditions, and are subject to risks and uncertainties that could cause actual outcome to differ materially from those suggested by any such statements, including without limitation, the risk that Iona does not enter into a definitive credit agreement and the risk that the key terms of any such definitive agreement differ materially from the terms described in this news release. These forward-looking statements speak only as of the date of this announcement. Iona 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.

Neither the TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Iona Energy Inc.
    Neill A. Carson
    Chief Executive Officer
    +011 (44) 7919 057989

    Iona Energy Inc.
    Brad G. Gunn
    Chief Financial Officer
    (403) 775-7442