ABERDEENSHIRE, UK--(Marketwire - October 11, 2010) - This Announcement Is Not for Release, Publication or Distribution in or Into the United States.

Further to the announcement released on 7 October 2010 in relation to the draw down on its Standby Equity Distribution Agreement with YA Global Master SPV Ltd, the Company, Xcite Energy (TSX-V: XEL) (LSE: XEL) (AIM: XEL), has made an application for the admission to trading on AIM ("Admission") of 2,840,893 new ordinary shares of no par value (the "New Ordinary Shares").

The New Ordinary Shares will rank pari passu with the Company's existing issued Ordinary Shares and dealings are expected to commence on AIM on 14 October 2010.

Following Admission, the Company's enlarged issued share capital will comprise 148,071,969 ordinary shares with one voting right per share. There are no shares held in treasury. The total number of voting rights in the Company will therefore be 148,071,969.

This figure of 148,071,969 Ordinary Shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FSA's Disclosure and Transparency Rules.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information:

ENQUIRIES:

Xcite Energy Limited
Richard Smith
Chief Executive Officer
Rupert Cole
Chief Financial Officer
+44 (0) 1330 826740

Arbuthnot Securities Limited (Nomad and Broker)
Antonio Bossi
Director
+44 (0)20 7012 2000

Pelham Bell Pottinger
Mark Antelme
Director
Henry Lerwill
+44 (0) 20 7861 3232

Paradox Public Relations
Jean-Francois Meilleur
Consultant
+1 514 341 0408