Ithaca Energy Secures Rig for North Sea Prospect

Ithaca Energy (UK) Limited has entered into a contract with Dolphin Drilling for the semisub, Bredford Dolphin, to drill Ithaca's first well on its North Sea Licenses.

Ithaca plans to drill an appraisal well on its 90-percent-owned Athena Project on block 14/18b in the Outer Moray Firth area of the United Kingdom Continental Shelf in the North Sea. The well is expected to commence drilling in early August 2006 to a depth of approximately 9700 feet to appraise Scapa sands previously proven to be oil-bearing in two wells drilled by another operator. The well is expected to take approximately 30 days to drill and test, and, if successful, it will be cased and completed for future production.

Lawrie Payne, CEO of Ithaca said, "Obtaining the services of this rig in a very tight rig market is a major accomplishment for the company and reflects Ithaca's aggressive approach to the development of its assets. It will allow us to initiate appraisal and development of one of Ithaca's most significant assets much earlier than previously anticipated."

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