Ithaca Energy 2014 Second Quarter Results

Ithaca Energy Inc. announces its quarterly financial results for the three months ended 30 June 2014 (“Q2-2014”) and half yearly results for the six months ended 30 June 2014 (“H1-2014”). 

Production & Operations 
Average pro-forma production in Q2-2014 was approximately 14,300 barrels of oil equivalent per day (“boepd”), 94% oil, including a contribution of approximately 2,500 boepd from the Summit Assets during the period. Average pro-forma production in H1-2014 was approximately 12,800 boepd including approximately 2,300 boepd from the Summit Assets. Total 2014 pro-forma production guidance remains unchanged in the range of 13,500 to 15,500 boepd, approximately 95% oil. As previously guided, 2014 production volumes are forecast to be weighted towards the second half of the year, notably from the later part of Q3-2014 post the completion of planned summer maintenance shutdowns, driven by the close out of on-going production enhancement projects. 

Greater Stella Area Development Update 
During the quarter, drilling of the third Stella development well was completed. The strong results of the clean-up flow test performed on the well, combined with the corresponding results of the first two wells, have served to de-risk the initial annualized production forecast for the GSA hub of approximately 30,000 boepd (100%), 16,000 boepd net to Ithaca. Operations are currently on-going on the fourth well, the Stella Andrew reservoir crestal gas producer, with completion of the well scheduled for early October 2014. 

Offshore operations are currently on-going to install the subsea infrastructure associated with the FPF-1 mooring spread. Installation of the mooring piles has recently been completed, with the work now focused on installation of the anchor chains that will be connected to the piles and left ready for pull-in upon arrival of the FPF-1 on location. On the FPF-1 modification works, construction activities on the main deck of the vessel are advancing. All the main oil and gas processing plant packages have been positioned on the vessel and installation of the associated pipework has commenced. Fit out of the accommodation module is progressing well, with handover for pre-commissioning expected shortly.