SOURCE: Xcite Energy Ltd

April 18, 2008 09:29 ET

Xcite Energy Limited ("Xcite Energy" or "the Company") Results for the 14 Month Period Ended December 31, 2007

ABERDEENSHIRE, UK--(Marketwire - April 18, 2008) -


THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO THE UNITED STATES

Xcite Energy (TSX-V: XEL) (LSE: XEL) (AIM: XEL) is a heavy oil company focused on the development of discovered resources in the United Kingdom North Sea. The Company holds a 100% working interest in the 9/3b block, the Bentley field, one of the largest undeveloped discoveries in the United Kingdom North Sea.

The Company is listed on the AIM Market of the London Stock Exchange (AIM) and the TSX Venture Exchange (TSX-V).

The Company today announces its financial and operational results for the 14 month period ended December 31, 2007 and its outlook for the remainder of 2008.

PERIOD HIGHLIGHTS and KEY MILESTONES

Operational

-- December 2007 - drilling operations commenced on the 9/3b-5 appraisal well

- Successful appraisal well completed on Bentley in February 2008

- All key objectives were met and results confirmed commercial potential of the field

- Licence secured for a further 4 years beyond the initial term through completion of the required work programme

- Plans now in place for the next phase in the commercialisation of Bentley


Financial

-- June 2007 - completion of an oversubscribed Private placement of shares

- Raised US$20million (approximately £10 million)

-- November 2007 - completion of an oversubscribed Initial Public Offering of shares

- Listed on the TSX-V and AIM

- Raised CAD$30 million (approximately £15 million)

-- Cash balance as at December 31, 2007 was £21.07 million, compared with £0.14 million as at October 31, 2006

2008 OUTLOOK

--  RPS Energy, independent reserve engineers, have been engaged to
    prepare an updated Competent Person's Report incorporating the technical
    data collected from the 9/3b-5 appraisal well
    
--  The Company intends to participate in the 25th Licence Round in the
    United Kingdom North Sea
    
--  The Company continues to assess further opportunities to farm-in or
    swap into production to further enhance shareholder value, through close
    cooperation with selected groups
    
--  The Company intends to submit a Field Development Plan to the UK
    Department for Business, Enterprise and Regulatory Reform by the end of
    2008, and is targeting early phased development to commence in 2009
    

Paste the following link to view PDF: http://www.rns-pdf.londonstockexchange.com/rns/6675s_-2008-4-18.pdf


This information is provided by RNS The company news service from the London Stock Exchange

Contact Information

  • Enquiries:

    Xcite Energy
    +44 (0) 1330 826 740
    Richard Smith
    Chief Executive Officer
    Rupert Cole
    Chief Financial Officer

    Thomas Weisel Partners (UK) Limited
    +44 (0) 20 7290 9716
    Paul Colucci
    Managing Director
    Paul Newman
    Managing Director

    Strand Partners Ltd.
    +44 (0) 20 7409 3494
    James Harris
    Director
    Warren Pearce
    Associate Director

    Pelham Public Relations
    +44 (0) 20 7743 6676
    Alisdair Haythornthwaite
    Director
    Katherine Stewart
    Account Executive