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Media/Investor Relations
News Release
NOT FOR RELEASE IN THE UNITED STATES OR DISTRIBUTION TO US NEWS SERVICES
Ithaca Energy Announces Response to Endeavour’s Non-Binding Proposal
LONDON, U.K. - CALGARY, ALBERTA, July 7, 2008 -- Ithaca Energy Inc. (LSE-AIM: IAE, TSX-V: IAE), an independent oil & gas company with exploration and development assets in the UK sector of the North Sea, announces that its Board of Directors has unanimously determined that the unsolicited non-binding proposal (the "Proposal") received from Endeavour International Corporation to acquire all of the issued and outstanding shares of Ithaca is not in the best interests of Ithaca shareholders.
After careful consideration, including of the report and recommendation of a Special Committee of Independent Directors and in consultation with its financial and legal advisors, the Board of Directors has concluded that the Proposal does not recognize the value of Ithaca's assets and prospects. "Ithaca has a number of ongoing initiatives that will be concluded in the near term which we believe will provide greater value for Ithaca's shareholders" said John Summers, Chairman of Ithaca’s Board of Directors.
RBC Capital Markets and Tristone Capital acted as financial advisors to the Special Committee in its review of the Proposal.
Enquiries:
READER ADVISORY
This news release contains certain forward-looking statements, including all statements which
address activities, events or developments that Ithaca Energy expects, believes or anticipates will
or may occur in the future. Such forward looking statements involve substantial known and
unknown risks and uncertainties, certain of which are beyond Ithaca Energy’s control and which
are based on various assumptions (including assumptions with respect to (i) availability of funds;
and (ii) future capital expenditures) which may prove incorrect. Such risks and uncertainties
include, without limitation the impact of general economic conditions in the areas in which Ithaca
Energy operates, civil unrest, industry conditions, changes in laws and regulations and changes in
how they are interpreted and enforced, increased competition, the lack of availability of qualified
personnel or management, fluctuations in commodity prices, foreign exchange or interest rates,
stock market volatility and obtaining required approvals of regulatory authorities. Please refer to
the company’s Annual Information Form for the year ended December 31st, 2007 and dated
April 30th, 2008 and available for viewing at www.sedar.com, for a list of additional risk
factors. Ithaca Energy’s actual results, performance or achievements could differ materially from
those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will
transpire or occur, or if any of them do so, what benefits that Ithaca Energy will derive therefrom.
Readers are cautioned that the foregoing list of factors is not exhaustive. All subsequent forwardlooking
statements, whether written or oral, attributable to Ithaca Energy or persons acting on its
behalf are expressly qualified in their entirety by these cautionary statements. Furthermore, the
forward-looking statements contained in this news release are made as at the date of this news
release and Ithaca Energy does not undertake any obligation to update publicly or to revise any of
the included forward-looking statements, whether as a result of new information, future events or
otherwise, except as may be required by applicable securities laws.
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.
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