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 the closing of its previously announced Senior Secured Borrowing Base
Facility for up to USD$250 million (the "BBF") with Bank of America Merrill
Lynch, Lloyds TSB Bank plc, and BNP Paribas.


Iona has also closed its acquisition of Carrizo UK Huntington Limited ("Carrizo
UK"). The acquisition of Carrizo UK consists of:




--  A 15% non-operated working interest in License P1114 of UK North Sea
    Block 22/14b covering the near-producing Huntington oil field
    development ("Huntington"); 
    
--  Royalties equivalent to 2.55% of total gross oil and gas production
    payable to Carrizo UK from the other Huntington Joint Venture Partners
    (the "Royalties"); 
    
--  A 100% interest in that part of Block 22/14d that contains the 3D
    seismically mapped extension of the Jurassic discovery which underlies
    Huntington; and 
    
--  Carrizo UK's ring-fenced tax losses totaling approximately USD$125
    million as at the transaction effective date of July 1st, 2012. 



The working interests on License P1114 consist of E.ON Ruhrgas UK E&P (25%
Operator), Premier Oil plc (40%), Norwegian Energy Company ASA (20%), and Iona
(15%) (collectively the "Huntington Joint Venture Partners").


Under the terms of the Sale and Purchase Agreement, total consideration paid on
closing by Iona to Carrizo Oil & Gas Limited ("Carrizo"), including financial
and working capital adjustments was USD$172.6 million. Additional deferred
payment of USD$18 million is due and payable to Carrizo upon receipt of first
oil revenues.


Huntington consists of Paleocene reservoir oil, located in Block 22/14b in the
Central North Sea. Huntington has been developed with four production and two
water-injection wells and will be tied back to Teekay's Floating Production
Storage and Offloading ("FPSO") vessel, the Voyageur Spirit. The FPSO arrived at
its final location on October 2nd, 2012. Final hook-up of risers has been
completed and commissioning is now taking place, with first oil expected in the
first half of 2013.


Initial stabilized gross production rates are estimated to be approximately
30,000 bbls of oil per day ("bopd") and 27 MMscf of gas per day ("MMscf/d"), or
4,500 bopd and 4.0 MMscf/d, totaling 5,175 boepd net to Iona (not including
approximately net 765 bopd and 0.68 MMscf/d attributed to the Royalties).
Management believes peak production rates will be considerably governed by the
processing capacity of the FPSO, and as a result production decline rates in the
first 24 months are expected to be slight. Given the API of 43 degrees and other
qualities of the Huntington crude oil, Iona anticipates a slight premium to
Brent quality priced crude.


As developed and under current market conditions, Iona estimates reserves for
its interest in Huntington to be 3.5 MMbbls Proved Reserves, 6.0 MMbbls Proved
plus Probable Reserves, and 7.3 MMbbls Proved plus Probable plus Possible
Reserves respectively (excluding volumes attributed to the Royalties from the
Huntington Joint Venture Partners). Iona expects to include the working and
royalty interests in Huntington in its 2012 year-end independent reserves
valuation due to be completed no later than April 30th, 2013.


Iona also announces that it has made full payments to MPX North Sea Limited
("MPX") and Sorgenia (E & P) UK Limited ("Sorgenia") in respect to the combined
total adjusted deferred consideration, interest and fees of USD$46.8 million
related to the Orlando Sale and Purchase agreement dated June 7, 2012. 


About Iona Energy

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


Note:

(1) Prepared by a non-independent qualified reserves evaluator in accordance
with the COGE Handbook, effective February 22, 2013.


The securities of Iona being offered have not been, nor will be, registered
under the United States Securities Act of 1933, as amended, and may not be
offered or sold within the United States or to, or for the account or benefit
of, U.S. persons absent U.S. registration or an applicable exemption from U.S.
registration requirements. This release does not constitute an offer for sale of
securities in the United States.


Forward-looking Statements

Some of the statements in this announcement are forward-looking, including
statements regarding the proposed terms of the Offering and anticipated closing
dates of various transactions of Iona. 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 expected
production and reserves of the Huntington field. 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,
including without limitation, the risk that operational delays occur. 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 Reserves Estimates

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.


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                    Natural Gas                  
----------------------------------------------------------------------------
bbls     barrels                               Bcf      billion cubic foot  
MMbbls   millions of barrels                   MMcf     million cubic feet  
MMboe    million barrels of oil equivalent                                  



FOR FURTHER INFORMATION PLEASE CONTACT: 
Iona Energy Inc.
Neill A. Carson
Chief Executive Officer
+011 (44) 1224 228400


Iona Energy Inc.
Brad G. Gunn
Chief Financial Officer
(403) 775-7442