FOR:  ITHACA ENERGY INC.

TSX VENTURE, AIM SYMBOL:  IAE

April 22, 2010

Ithaca Mandates Bank of Scotland for US$140 Million Facility

LONDON, UNITED KINGDOM and CALGARY, ALBERTA--(Marketwire - April 22, 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, is pleased to announce that it has mandated Bank of Scotland Plc ("BOS"), part of Lloyds Banking Group,
as Lead Arranger for the provision of a US$140 million Senior Secured Borrowing Base Facility ("the Facility") to
principally fund the development of the recently appraised Stella field and the satellite discoveries Harrier and
Hurricane and/or fund future potential acquisitions of production properties in the North Sea.

A Term Sheet has been agreed between the Company and BOS. The Term Sheet is structured such that US$30 million is
immediately available to the company on execution of the Facility documents. Engineering scoping work has already
started on the Stella development and satellite discoveries, Harrier and Hurricane based on the outcome of the Stella
appraisal well. A full development plan will be defined during 2010. The facility contemplates that a further US$110
million can be made available to Ithaca for the Greater Stella Area development based on an engineering assessment of
the field(s), FDP approval and final credit approval.

Flexibility within the Facility also permits Ithaca to debt finance acquisitions of production asset(s) subject to
credit approval.

Under the terms of the Mandate Letter, the parties shall negotiate and finalize the Facility documents on or before June
30, 2010. The completion of the Facility documents are subject to customary conditions including completion of due
diligence. An update will be provided upon execution.

Iain McKendrick (Chief Executive Officer) commented:

"Further to our strong 2009 financial results and the very encouraging Stella appraisal well, the Company is well
positioned to grow. This facility provides a major building block towards funding the capital expenditure required for
the development of the Greater Stella Area but also the flexibility to finance a significant acquisition. The high level
of support offered by the Bank of Scotland to Ithaca reinforces our view of the underlying strength of the Company cash
flow and reserves".

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 "expects," "believes," "anticipate," "plans," "may," "will," "should", "scheduled",
"targeted", "estimated" and similar expressions, and the negatives thereof, whether used in connection with the expected
transaction completion date or otherwise, 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.

FOR FURTHER INFORMATION PLEASE CONTACT:

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

OR

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

OR

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

OR

Pelham Bell Pottinger:
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 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.

Ithaca Energy Inc.