Xcite Energy Closes C$38.4 million (£24.9 million) Placing

- March 19th, 2010

Xcite Energy (TSX-V: XEL) (LSE: XEL) (AIM: XEL) reported that it has successfully raised gross proceeds of C$38.4 million (approximately £24.9 million) through its previously reported placing of new ordinary shares, principally to institutional investors.

Xcite Energy (TSX-V: XEL) (LSE: XEL) (AIM: XEL) reported that it has successfully raised gross proceeds of C$38.4 million (approximately £24.9 million) through its previously reported placing of new ordinary shares, principally to institutional investors.

The press release is quoted as saying:

As a result of the placing 61,972,394 new Ordinary Shares have been issued at a price of C$0.62 (£0.40) per Ordinary Share. The net proceeds of the offering, together with US$4 million in funds committed to the Company by Challenger Minerals (North Sea) Limited, are anticipated to be used primarily to fund the drilling and flow testing of the 9/3b-R pre-development well on the Company’s Bentley oil field. The balance of the net proceeds of the offering will be used for general working capital purposes.

Click here to access the entire press release

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