Ithaca Energy Inc.
LSE : IAE

May 18, 2011 09:53 ET

Jacky Field-Well Operations

FOR:  ITHACA ENERGY INC.

TSX VENTURE, AIM SYMBOL:  IAE

May 18, 2011

Jacky Field-Well Operations

LONDON, UNITED KINGDOM and CALGARY, ALBERTA--(Marketwire - May 18, 2011) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Ithaca Energy Inc. (TSX VENTURE:IAE)(AIM:IAE) announces that the J03 well on the Jacky field ("the well") has
been suspended having encountered a smaller than anticipated oil column in the Beatrice 'A' Sand reservoir.
Given the result of the well, technical work is ongoing to determine whether to re-enter the well and complete
it as a water injector to maximise oil recovery from the Jacky field.

Meanwhile, the drilling unit for the J03 well, Northern Enhancer, currently located over the Jacky platform,
will commence a workover operation to replace downhole pumps in the J01 production well. This operation is
estimated to last approximately 15 days.

Notes to oil and gas disclosure:

In accordance with AIM Guidelines, Hugh Morel, BSc Physics and Geology (Durham), PhD Hydrogeology (London) and
senior petroleum engineer at Ithaca Energy is the qualified person that has reviewed the technical information
contained in this press release. Dr Morel has 30 years operating experience in the upstream oil industry.

About Ithaca Energy:

Ithaca Energy Inc. and its wholly owned subsidiary Ithaca Energy (UK) Limited ("Ithaca" or "the Company"), is
an oil and gas exploration, development and production company active in the United Kingdom's Continental Shelf
("UKCS"). The goal of Ithaca, in the near term, is to maximize production and achieve early production from the
development of existing discoveries on properties held by Ithaca, to originate and participate in exploration
and appraisal on properties held by Ithaca when capital permits, and to consider other opportunities for growth
as they are identified from time to time by Ithaca.

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 the estimated production levels, anticipated time of
completion of the Transaction or reserves associated with the Transaction are intended to identify forward-
looking statements. The reserves for individual properties may not reflect the same confidence level as
estimates of reserves of all properties, due to the effects of aggregation. 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.

The term "boe" may be misleading, particularly if used in isolation. A boe conversion of 6 Mcf: 1 bbl is based
on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a
value equivalency at the wellhead.

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FOR FURTHER INFORMATION PLEASE CONTACT:

Ithaca Energy:
Iain McKendrick
CEO
+44 (0) 1224 650 261
imckendrick@ithacaenergy.com

OR

Ithaca Energy:
Graham Forbes
CFO
+44 (0) 1224 652 151
gforbes@ithacaenergy.com

OR

Ithaca Energy:
Nick Muir
CXO
+44 (0) 1224 650 267
nmuir@ithacaenergy.com

OR

Pelham Bell Pottinger Public Relations:
Philip Dennis
+44 (0) 207 861 3919
pdennis@pelhambellpottinger.co.uk

OR

Pelham Bell Pottinger Public Relations:
Elena Dobson
+44 (0) 207 861 3147
edobson@pelhambellpottinger.co.uk

OR

Cenkos Securities plc:
Jon Fitzpatrick
+44 (0) 131 220 9773
jfitzpatrick@cenkos.com

OR

Cenkos Securities plc:
Ken Fleming
+44 (0) 131 220 9772
kfleming@cenkos.com

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

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Contact Information

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