NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR DISSEMINATION IN
UNITED STATES


Iona Energy Inc. ("Iona" or the "Company") (TSX VENTURE:INA) is pleased to
announce that its U.K. subsidiary, Iona Energy Company (UK) Limited has closed
the acquisition of an operated 58.73% interest in U.K. Block 13/21a containing
the West Wick Oil Field ("West Wick") from Centrica Venture Production Company
("Centrica VPC"). The U.K. government's Department of Energy and Climate Change
("DECC") has also completed the license assignment. Under the terms of the sale
and purchase agreement, Iona has completed a USD$5.1 million payment to
Centrica. 


Iona engaged Gaffney, Cline & Associates Ltd. ("GCA") to prepare an independent
reserves report of the West Wick oil field, based on the draft Field Development
Plan ("FDP") for West Wick prepared by Centrica VPC (the "GCA Report"). The GCA
Report was prepared in accordance with National Instrument 51-101 - Standards of
Disclosure for Oil and Gas Activities and has an effective date of December
31st, 2011. GCA has estimated net proved oil reserves ("1P") of 5.1 MMbbls, net
proved plus probable oil reserves ("2P") of 9.71 MMbbls and net proved plus
probable plus possible oil reserves ("3P") of 12.18 MMbbls. 


The closing of the West Wick acquisition brings Iona's net 1P oil and gas
reserves to 16.0 MMboe and net 2P oil and gas reserves to 31.7 MMboe and pre-tax
net present values discounted at 10% of USD$431 million and USD$1.19 billion
respectively, as evaluated by GCA (see note below). Iona's currently evaluated
reserves are comprised of approximately 79% oil and 21% gas. 


The West Wick oil discovery is located within UK Block 13/21a approximately 3.75
km west of the producing Captain oil field. Oil was discovered within the
Cretaceous Upper and Lower Captain sandstone reservoirs and correlates to the
same reservoirs of the Captain field that have produced since 1997. The West
Wick field has remained undeveloped since discovered by Amoco in 1990. Since
that time four delineation wells have been drilled appraising the accumulation
with the last wells (13/21a-5 and 13/21a-6) drilled by Enterprise Oil in 2001.
The West Wick field is a three-way dip closed structure approximately 3 km long
by 2 km wide with an observed oil column of 228 ft (true vertical thickness)
with oil proven though wire-line sampling that gives an API range of 13 - 21
degrees, with an estimated 100cp viscosity crude in the reservoir. Iona
considers West Wick fully appraised and development-ready, as confirmed by GCA's
2P reserves evaluation. 


Iona intends to finalize the preferred development concept within the next few
months and integrate the West Wick project schedule into its plans for the
ongoing development work at Iona's Orlando and Kells oil fields, both of which
are owned 100% by the Company. Iona will upgrade the draft FDP engineered and
designed in 2007 by VPC with the final development concept and will move swiftly
to place engineering contracts and identify critical long-lead items for
procurement. 


Block 13/21a is covered by 3D seismic and Iona believes the deeper Jurassic
stratigraphy offers further exploration potential underlying the block and an
evaluation of this potential is planned to commence immediately. 


Iona's Chief Executive Officer, Neill Carson said: "We are very excited to add
the Iona Operated West Wick field to our rapidly growing portfolio of
high-quality development assets, and its planned development fits nicely with
our goal of a new development every 12-18 months. This is clearly an area in
which we can grow and compliments our development portfolio nicely. At 31.7
MMboe of 2P reserves, we believe we have reached critical mass allowing us to
take the company to the next level."


Additional information relating to the Company is available on SEDAR at
www.sedar.com.


Note: 

The aggregate reserves and net present value information of Iona disclosed in
this press release are based on: (i) reserves and net present value information
attributed to Iona's interests in the Orlando and Trent & Tyne fields by GCA,
using forecast prices and costs effective as of December 31, 2011 (as disclosed
in Iona's Form 51-101F1 for the year ended December 31, 2011.), combined with
(ii) reserves and net present value information attributed to Iona's interests
in the Kells field by GCA, using forecast prices and costs effective as of March
31, 2012 (as disclosed in Iona's press release dated June 7, 2012), and with
(iii) reserves and net present value information attributed to Iona's interests
in the West Wick field by GCA, using forecast prices and costs as of December
31, 2012 (as described further in this press release). 


About Iona Energy:

Iona is an oil and gas exploration, development and production company focused
on oil and gas development and exploration in the United Kingdom's North Sea.


Forward-looking statements

Some of the statements in this announcement are forward-looking, including
statements regarding Iona's plans for development of the West Wick property,
estimates of the quantities of proved reserves, probable reserves, and possible
reserves, as well as estimates of the net present value of future net revenue of
proved reserves, probable reserves, and possible reserves. Forward-looking
statements include statements regarding the intent, belief and current
expectations of Iona Energy Inc. or its officers with respect to various
matters, including reserves, production, first oil, drilling activity or
otherwise. When used in this announcement, the words "expects," "believes,"
"anticipate," "plans," "may," "will," "should", "scheduled", "targeted",
"estimated" and similar expressions, and the negatives thereof, are intended to
identify forward-looking statements. Such statements are not promises or
guarantees, are based on various assumptions by Iona's management 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. Iona 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 except as required by applicable securities laws. 


Notes Regarding Oil and Gas Disclosure 

As used in this press release, "boe" means barrel of oil equivalent on the basis
of 6 mcf of natural gas to 1 bbl of oil. Boes may be misleading, particularly if
used in isolation. A boe conversion ratio of 6 mcf: 1 bbl is based on an energy
equivalency conversion method primarily applicable at the burner tip and does
not represent a value equivalency at the wellhead. 


It should not be assumed that the present worth of estimated future net revenue
represents the fair market value of the reserves disclosed in this press
release. The reserve and related revenue estimates set forth in this press
release are estimates only and the actual reserves and realized revenue may be
greater or less than those calculated. The estimates of reserves and future net
revenue for individual properties may not reflect the same confidence level as
estimates of reserves and future net revenue for all properties, due to the
effects of aggregation. As used in this press release, "possible reserves" are
those additional reserves that are less certain to be recovered than probable
reserves. There is a 10% probability that the quantities actually recovered will
equal or exceed the sum of proved plus probable plus possible reserves. 


Additionally, this press release uses certain abbreviations as follows:



Oil and Natural Gas Liquids                                                 
                                                                            
bbls      barrels                                                           
                                                                            
MMbbls    millions of barrels                                               
                                                                            
boe       barrels of oil equivalent                                         
                                                                            
MMboe     millions of barrels of oil equivalent