LONDON, UNITED KINGDOM and CALGARY, ALBERTA--(Marketwire - Nov. 6, 2007) -
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES
Ithaca Energy Inc. (TSX VENTURE:IAE)(AIM:IAE), a Canadian independent oil and
gas company with exploration and development assets in the UK North Sea, is
pleased to announce that it has entered into an agreement to sell to a syndicate
of underwriters, on a "bought deal" basis, 27,400,000 common shares at a price
of CAD$3.65 per common share for gross proceeds of approximately CAD$100
million. Ithaca has granted the underwriters an over-allotment option to
purchase up to an additional 4,110,000 common shares on the same terms and
conditions, exercisable in whole or in part up to 30 days following closing of
the offering. The syndicate is co-led by RBC Capital Markets and CIBC World
Markets and includes Research Capital Corporation, Tristone Capital Inc. and
Fraser Mackenzie Limited.
Ithaca intends to use the net proceeds of this offering to fund development
of its Athena and Jacky oil projects, exploration on its UK exploration assets
and to fund general working capital. The offering will be made in each of the
provinces of Canada (excluding Quebec) by way of short form prospectus and in
the United Kingdom and the United States on a private placement basis. The
offering is expected to close on or about November 23, 2007 with shares admitted
to AIM on or before November 29, 2007.
This news release shall not constitute an offer to sell or the solicitation
of any offer to buy the securities in any jurisdiction. The common shares may be
offered or sold in other eligible foreign jurisdictions and to U.S. buyers on a
private placement basis pursuant to an applicable exemption from registration
requirements in Rule 144-A or Regulation D of the United States Securities Act
of 1933, as amended.
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", "anticipates", "plans", "may", "will", "should" 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.
In accordance with AIM Guidelines, Lawrie Payne, MA Marine Geology (Alberta
& Columbia) and CEO of Ithaca Energy is the qualified person that has
reviewed the technical information contained in this press release.
FOR FURTHER INFORMATION PLEASE CONTACT:
Ithaca Energy Inc.
Lawrie Payne
In London:
+44(0) 20 7590 3027 or Mobile: +44(0)7841 678668
or
Ithaca Energy Inc.
Brad Gunn
In London:
+44(0) 20 7590 3026 or Mobile: +44(0)7920 019355
In Calgary:
(403) 668-9599 or Mobile: (403) 389-4107
or
Nabarro Wells & Co. Limited
Marc Cramsie
+44(0) 20 7710 7400
or
Nabarro Wells & Co. Limited
John Wilkes
+44(0) 20 7710 7400
or
Pelham Public Relations
Charles Vivian
+44(0) 20 7743 6673 or Mobile: +44(0)7977297903
or
Pelham Public Relations
Philip Dennis
+44(0) 20 7743 6363 or Mobile: +44(0)7947868206
The TSX Venture Exchange does not accept responsibility for the adequacy or
accuracy of this release.