FOR:  ITHACA ENERGY INC.

TSX VENTURE, AIM SYMBOL:  IAE

March 29, 2010

Ithaca Energy Inc.: Stella Well Update

LONDON, UNITED KINGDOM and CALGARY, ALBERTA--(Marketwire - March 29, 2010) -

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

Ithaca Energy Inc. (TSX VENTURE:IAE)(AIM:IAE) and its wholly owned subsidiary Ithaca Energy (UK) Limited ("Ithaca"
or "the Company"), an independent oil & gas company with exploration, development and production assets in the UK
sector of the North Sea, announces that it is preparing to Drill Stem Test ("DST") the Stella appraisal well,
30/6a-8.

The well has been drilled to a total measured depth of 10,863 feet to appraise the downdip extension of the gas
condensate rich Palaeocene Andrew sands, the primary reservoir of the Stella discovery. Electric wireline logs and
coring have been run which confirm a 22 foot gross Andrew sand interval. Pressure and fluid sampling has been
undertaken across the Andrew sand reservoir interval and based on the analysis of results, a previously planned
DST will now be conducted which will last for approximately 12 days.

A further update will be issued when the DST results become available.

The partners in the Stella Field (Block 30/6a) are Ithaca (68.33%) (operator) and Dyas UK Ltd (31.67%). Challenger
Minerals (North Sea) Limited is paying to Ithaca 27% of gross costs of the well to earn an 18% equity interest in
block 30/6a. Ithaca will retain a 50.33% equity interest upon completion.

In accordance with AIM Guidelines, Lawrie Payne, MA Marine Geology (Alberta & Columbia) and Chairman of Ithaca
Energy is the qualified person that has reviewed the technical information contained in this press release.

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 "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, and are subject
to risks and uncertainties that could cause actual outcome to differ materially from those suggested by any such
statements. 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.

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FOR FURTHER INFORMATION PLEASE CONTACT:

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

OR

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

OR

Pelham Bell Pottinger Public Relations
Philip Dennis
+44 (0) 207 337 1516
pdennis@pelhambellpottinger.co.uk

OR

Pelham Bell Pottinger Public Relations
Elena Dobson
+44 (0) 207 337 1517
edobson@pelhambellpottinger.co.uk

OR

Cenkos Securities plc
Jon Fitzpatrick
+44 (0) 207 397 8900
jfitzpatrick@cenkos.com

OR

Cenkos Securities plc
Ken Fleming
+44 (0) 131 220 6939
kfleming@cenkos.com

Neither TSX Venture nor it's 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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Ithaca Energy Inc