Energy SpA — Capital/Financing Update 2015

Nov 9, 2015

Bondholder Meeting Summons - Extension to Complete Restructuring

Bondholder Meeting Summons - Extension to Complete Restructuring

Iona Energy Inc. ("Iona" or the "Company") (TSX

VENTURE:INA), a Canadian independent oil & gas company with

assets in the UK North Sea announces that it has today

published a summons to a bondholders' meeting (the

"Summons") to be held on November 16, 2015 to approve

certain amendments (the "Amendments") to the terms of the

restructuring of Iona (the "Restructuring") which was

approved and agreed by the bondholders of Iona Energy

Company (UK) plc (the "Bondholders") at a meeting on 6

August 2015 (and as subsequently amended).

Iona has made significant progress on implementing the

Restructuring however, it has become clear that further time

is required to finalise certain elements. In Iona's Q2 2015

results presentation (slide 7) available at

www.ionaenergy.com, three key risks were highlighted with

regard to the Restructuring:

- Oil price.

- Farm-in partner consent to the Orlando farm-out.

- Atlantic Petroleum's (Iona's 25% partner in the

Orlando project) funding position.

Iona has sought to protect itself against oil price risks

via amendments to the Bond agreement approved by the

Bondholders on October 13, 2015, which provided the Company

with additional working capital headroom to fund Orlando

capital expenditures via deferral of the proposed US$24

million cash repayment to Bondholders upon completion of the

Restructuring.

Despite significant progress with the farm-in partner,

definitive documentation regarding the Orlando farm-out is

not yet finalised and there remains uncertainty with

Atlantic Petroleum's funding position. Accordingly, to

facilitate completion of the conditions precedent to the

Restructuring, Iona is proposing an extension of the Long

Stop Date to complete the Restructuring from November 30,

2015 to January 15, 2016.

Approval of the Amendments is subject to a two thirds

majority of Bondholders voting in favour.

Further details of the proposed Amendments are outlined in

the Summons published today. The Summons can be found at

the Company's website at www.ionaenergy.com.

The Restructuring and all its constituent transactions or

arrangements are in agreed form but remain subject to

negotiation and execution of final documentation.

The Company specifically draws the attention of shareholders

and Bondholders to the Forward Looking Statements section of

this release and to the Summons. In particular, the Company

also draws attention to the consequences of not receiving a

positive Bondholder vote at the forthcoming meeting and/or

not implementing the various potential arrangements.

ENDS

Additional information relating to the Company is available

on SEDAR at www.sedar.com.

For further information please contact:

Tom Reynolds, CEO

Telephone: +44 (0) 1224 228400

Billy Clegg / Georgia Mann, Camarco

Telephone: +44 (0) 20 3757 4980

Camarco is a financial public relations group assisting the

Company with this press release.

About Iona Energy:

Iona is an oil and gas company with assets in the United

Kingdom's North Sea. www.ionaenergy.com.

Forward-Looking Statements

Some of the statements in this announcement are forward-

looking, including statements regarding the material terms,

anticipated effects and anticipated timing of the

Restructuring (including the proposed Amendments), and

future business plans of Iona. When used in this

announcement, the words "expects," "believes," "anticipate",

"plans", "may", "will", "would", "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,

including assumptions regarding future contractual terms and

anticipated timing which may be beyond Iona's control, and

are subject to risks and uncertainties that could cause

actual outcomes to differ materially from those suggested by

any such statements, including without limitation, the risk

that the business plans described in this announcement are

changed as a result of new developments or information, the

risk that the Amendments are not approved by the

Bondholders, the risk that the Restructuring is not

implemented for any reason, the risk that the final terms of

the definitive agreements implementing the Restructuring (or

portions thereof) are different than those anticipated, and

the risk that the Restructuring is delayed or does not have

the anticipated positive impact upon the Company. 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.

There remains significant uncertainty with regard the

implementation of the Restructuring. In the event that the

Amendments are not approved by Bondholders by November 30,

2015 then the Company will likely default under the terms of

the Bonds. In an event of default, Bondholders could

require immediate repayment of the Bonds.

Neither the TSX Venture Exchange Inc. nor its Regulation

Services Provider (as that term is defined in policies of

the TSX Venture Exchange) accepts responsibility for the

adequacy or accuracy of this release.