Xcite Energy announces that its 100% subsidiary, Xcite Energy Resources Limited (“XER”), has entered into an extension to the binding letter of intent (“LOI”) with British American Offshore Limited(“BAOL”), part of Rowan Companies, Inc. for the N-Class “Rowan Norway” jack-up rig.
The LOI has been extended by mutual consent to 11 February 2011 with no amendment to the existing termination fee payable by XER in the event it does not enter into a definitive agreement by this date.
Xcite Energy Limited (“XEL”) is a TSX-Venture and AIM listed, independent oil company, which is focused on the development of heavy oil resources in the UK North Sea. Through its UK subsidiary Xcite Energy Resources Limited (“XER”), XEL currently owns a 100% working interest in the Bentley heavy oil field on Block 9/3b in the North Sea. The Bentley field is a pre-development asset, with independently assessed, base-case recoverable contingent resources of 122.5 MMbbls.
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Source: , February 2, 2011; Image: Rowan