.

If they confirm the find a second time with this next well : 150p at least !.

Yes, 125p to 150p range would be about right until funding was sorted and then upwards to say 250p levels after that with the plans for development being released.

XEL is starting to show weakness. 48p now.

Consolidation after the recent rises thats all. Nothing goes up in a straight line and my holdings are still well over 100% in profit and for this one, I am not selling.

Greed for the upside :)

12% rise in Canada last night, so might be blue for XEL in London too later.

london is bound to open strong (indicating +58) to very strong today, and even TLW my regain some ground! ..... strong in NY followed by big bounce (i think) in F/E ....... question is whether or not the gains can be held

Nice news :

http://www.investegate.co.uk/Article.aspx?id=201001280700102463G

TSX-V, LSE-AIM: XEL

Xcite Energy Limited

("Xcite Energy" or the "Company")



January 28, 2010



Supply and Offtake Agreement with

BP Oil International Limited



Xcite Energy, a developer of heavy oil assets in the UK North Sea, today announces that Xcite Energy Resources Limited ("XER"), the 100% subsidiary of the Company and the 100% owner of the Bentley field, has concluded an agreement with BP Oil International Limited ("BPOI"), a wholly owned subsidiary of BP plc ("BP"), whereby BPOI will provide the offtake services to market and sell the Bentley crude oil in return for an incentive-based fee per barrel.

The offtake fee is directly related to the realised price achieved by BPOI for the Bentley crude oil in relation to the prevailing Brent crude price, incentivising BPOI to maximise the price per barrel achieved for XER by minimising the discount to Brent crude.

In addition, BPOI have undertaken that, subject to certain conditions, when Xcite Energy move to full field development, an associated BP company will procure $20m of financing from a commercial bank for Xcite Energy with credit support from BP, for the purpose of assisting with the full field development of the Bentley field, the terms of which will be negotiated in due course.

Richard Smith, Xcite Energy Chief Executive Officer commented:

"We are delighted to welcome BP Oil International as our offtake partner in the Bentley field. This is a relationship that brings the global resources and expertise of the BP oil trading organisation to manage the marketing and selling of the Bentley crude, together with assistance in financing the work programme as we move towards first oil on the field. This is another watershed for the Company, which underpins the value of Bentley crude through field life and significantly progresses the plan for development."

can't harm sp ...... where is Bentley (too lazy to look) as i note big incentives to develop shetlands fields

Parked next to the Rolls...!......in the North sea not the Shetlands.

I bought a few in mid December , story looks good and today's announcement seems to confirm things are on track.

Onwards and upwards , 80p first target.

My final target is 500p to 700p a share.

So fingers crossed in 18 months time or so :) with a good wind and good fortune and luck with the drill bit.

thanks RF ..... i take it your RR is not parked in the north sea either!

Mention in the FT.

http://www.ft.com/cms/s/0/0788dd7a-0c76-11df-a941-00144feabdc0.html

Hopes rise for Xcite Energy

By Neil Hume and Bryce Elder

Published: January 29 2010 02:00 | Last updated: January 29 2010 02:00

Xcite Energy was in demand yesterday, rising 8.7 per cent to 50p on news of a supply and financing agreement with BP for its flagship asset.

Xcite owns the Bentley heavy oil field, which is one of the largest undeveloped fields of the UK continental shelf. If the company is able to convert the resource base of viscous oil into reserves, Xcite would become the third-largest oil company active in the North Sea, according to analysts.

"This is a very positive step for the company, which has now attracted two very strong partners [Fugro, and now BP] to commercialise the field, said Dougie Youngson of Arbuthnot Securities. "The announcement de-risks the development phase of the project and also enhances its economics as the heavy oil discount should be reduced."

The likes of BP don't get jump in with minnows unless it is an almost sure thing......could say the same with the TLW-AEX relationship but to me that is a little bit riskier.....in XEL and AEX by the way plus TLW not BP. at the moment.

the rns re fugro was a positive, and of course, this latest one, even more so ..... however, unless i have missed something, there is no timetable as to when XEL will start drilling .... if so, no wonder sp is totally stagnant

.

XEL is starting to show lowering peaks.
SELL.... Now 46.5p

certainly a disappointing day for this stock when most oilies were strongly ahead ..... see my post 98

Funny isn't it.

The stock is up 1000% (yes one thousand) percent in 12 months and people start seeing a little profit taking as "bad signs".

LOL :)

The coming drill could see the price zoom past 100p and more, now, for those with 1000% gains they might take a little profit, others will be coming in for the potential 100% short term and the other 1000% in the longer term possible.

I will add more at 40p, if it goes there.

in that case please tell us when this drilling prog is to start, as i have seen nothing