Ithaca’s Profit Increases to USD 145 Million

The company reported growth in cashflow by 170% ( 2013 $ 244 million – 2012 $90 million ), resulting in cashflow per share of $0.81 (2012: $0.35). Profit after tax increased by approximately 55% to $145 million (2012: $93 million), generating earnings per share of $0.48 (2012: $0.36)

Acquisition of Valiant Petroleum plc (“Valiant”) also delivered Material broadening of the producing asset portfolio and further financial strengthening.

Net proven and probable (“2P”) reserves of 58 million barrels of oil equivalent (“MMboe”) at 31 December 2013, resulted in the delivery of a compound annual growth rate of approximately 11% since 2009.

Significant progress has been made on execution and de-risking of the Greater Stella Area (“GSA”) development during 2013, with start-up of production from the hub scheduled for the end of 2014.

The company has also been awarded post year-end contracts for the export of oil from the GSA hub directly to market via offshore loading to shuttle tankers, with the infrastructure scheduled for installation by Technip during the 2014 offshore campaign.

Department of Energy and Climate Change (“DECC”) awarded Ithaca with “Don North East” licence, providing access to tangible upside to the Company’s existing Dons position.

Lastly, The Company reported appointment of Alec Carstairs as a Non-Executive Director of the Company.

Les Thomas, Chief Executive Officer, commented: “2013 marked a step-change in the development of the Company. Production, cashflow and reserves were all materially enhanced through the acquisition of Valiant. Significant progress and de-risking was achieved on all aspects of the Greater Stella Area development during the year. While delivery of first hydrocarbons from the hub remains the main focus of near term growth, we continue to look for new North Sea opportunities to drive additional longer term shareholder value”.