Xcite Energy Increases Recoverable Oil at Bentley

Xcite Energy 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 Block 9/3b, which contains the Bentley field in its entirety, one of the largest proven, but undeveloped heavy oil fields in the United Kingdom North Sea. Xcite Energy is listed on the AIM Market of the London Stock Exchange and the TSX Venture Exchange. The Company announces its financial results for the 3 month period ended March 31, 2009.

Key Highlights

  • Completion of the new Competent Person's Report from RPS Energy on the Bentley field, that has confirmed a higher resources categorisation, increased recoverable volumes of oil, significantly increased economic value and a greatly improved probability of commercial success.
  • Further re-interpretation of the 3D seismic over the Bentley field provides additional confidence in recovery factors.

2009 Outlook

  • Work to conclude the detailed costs and design of the next well intervention on Bentley is nearing completion.
  • Planning for the next phase in the development of the Bentley field will continue in the context of the current economic and market conditions.

Richard Smith, Xcite Energy Chief Executive Officer, commented: "Following the release of the new Competent Person's Report in February, the first quarter of 2009 has provided further confirmation of the recoverable resources in the Bentley field through the re-interpretation work on the 3D seismic data. The details of this will be announced in due course. As we finalise the design and objectives of the next work program intervention on Bentley, the market sentiment is viewed by some commentators as more encouraging. The Bentley field we believe, as one of the largest proven, but undeveloped fields in the North Sea, is well placed to attract appropriate interest from industry and financial partners seeking significant value uplift."